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" Equal rights to all, special privileges to none.
THE
Campaign Text Book
OF THE
DEMOCRATIC PARTY OF
THE UNITED STATES,
1904.
ISSUED BY AUTHORITY OF THE
DEMOCRATIC NATIONAL COMMITTEE.
THE METROPOLITAN PRINTING COMPANY
213-227 WEST 26th STREET
NEW YORK CITY
" Equal rights to all, special privileges to none.''
THE
Campaign Text Book
OF THE
( DEMOCRATIC PARTY. OF
THE UNITED STATES,
i • »
1904
ISSUED BY AUTHORITY OF THE
DEMOCRATIC NATIONAL COMMITTEE.
G2
Jte
HEADQUARTERS DEMOCRATIC NATIONAL COMMITTEE,
1 West 34thi Street,
NEW YORK CITY.
HEADQUARTERS DEMOCRATIC CONGRESSIONAL COMMITTEE
. Rlggs^Hop^e;
wyl.s h i N.oir*or>i J 13. c.
CONSTITUTION OF THE UNITED STATES.
PREAMBLE.
We, the people of the United Slates, in order to form a more
perfect Union, establish justice, insure domestic tranquillity,, pro-
vide for the common defence, promote the general welfare, and
secure the blessings of liberty to ourselves and our posterity, do
ordain and establish this CONSTITUTION for t-aeXIrited States of-
America.
ARTICLE I.
Section I. All legislative powers herein granted shall be
vested in a Congress of the United States, which shall consist of
a Senate and House of Representatives.
Section II. 1. The House of Representatives shall be com-
posed of members chosen every second year by the people of the
several States, and the electors in each State shall have the quali-
fications requisite for electors of the most numerous branch of the
State Legislature.
2. No person shall be a Representative who shall not have at-
tained to the age of twenty-five years, and been seven years a citi-
zen of the United States, and who shall not, when elected, be an
inhabitant of that State in which he shall be chosen.
3. Representatives and direct taxes shall be apportioned among
the several States which may be included within this Union ac-
cording to their respective numbers, which shall be determined by
adding to the whole number of free persons, including those bound
to service for a term of years, and excluding Indians not taxed,
three-fifths of all other persons. The actual enumeration shall be
made within three years after the first meeting of the Congress
of the United States, and within every subsequent term of ten years,
in such manner as they shall by law direct. The number of Repre-
sentatives shall not exceed one for every thirty thousand, but each
State shall have at least one Representative; and until such
•enumeration shall be made, the State of New Hampshire shall be
entitled to choose 3 ; Massachusetts, 8 ; Rhode Island and Provi-
dence Plantations, 1 ; Connecticut, 5 ; New York, 6 ; New Jersey,
4 ; Pennsylvania, 8 ; Delaware, 1 ; Maryland, 6 ; Virginia, 10 ;
North Carolina, 5 ; South Carolina, 5, and Georgia, 3.*
4. When vacancies happen in the representation from any State,
the Executive Authority thereof shall issue writs of election to
fill such vacancies.
5. The House of Representatives shall choose their Speaker and
other officers, and shall have the sole power of impeachment.
Section III. 1. The Senate of the United States shall be corn-
See Article XIV., Amendments.
M41604
4 Constitution of the United States.
posed of two Senators from each State, chosen by the Legislature
thereof, for six years; and each Senator shall have one vote.
2. Immediately after they shall be assembled in consequence of
the first election, they shall be divided as equally as may be into
three classes. The seats of the Senators of the first class shall be
vacated at the expiration of the second year, of the second class
at the expiration of the fourth year, and of the third class at the
expiration of the sixth year, so that one-third may be chosen every
second year; and if vacancies happen by resignation, or otherwise,
during the recess of the Legislature of any State, the Executive
thereof may make temporary appointment until the next meeting
of the Legislature, .which shall then fill such vacancies.
3. No person shall be a Senator who shall not have attained to
the age of thirty years; and been nine years a citizen of the United
States, and who shall not, when elected, be an inhabitant of that
State for which he shall be chosen.
4. The Vice-President of the United States shall be President
of the Senate, but shall have no vote unless they be equally divided.
5. The Senate shall choose their other officers, and also a Presi-
dent pro tempore, in the absence of the Vice-President, or when
he shall exercise the office of President of the United States.
6. The Senate shall have the sole power to try all impeachments.
When sitting for that purpose, they shall be on oath or affirmation.
When the President of the United States is tried, the Chief Jus-
tice shall preside; and no person shall be convicted without the
concurrence of two-thirds of the members present.
7. Judgment in cases of impeachment shall not extend further
than to removal from office, and disqualification to hold and enjoy
any office of honor, trust, or profit under the United States; but
the party convicted shall nevertheless be liable and subject to
indictment, trial, judgment, and punishment, according to law.
Section IV. 1. The times, places, and manner of holding elec-
tions for Senators and Representatives shall be prescribed in each
State by the Legislature thereof ; but the Congress may at any time
by law make or alter such regulations, except as to places of choos-
ing Senators.
2. The Congress shall assemble at least once in every year, and
such meeting shall be on the first Monday in December, unless
they shall by law appoint a different day.
Section V. 1 Each House shall be the judge of the elections,
returns, and qualifications of its own members, and a majority of
each shall constitute a quorum to do business; but a smaller num-
ber may adjourn from day to day, and may be authorized to com-
pel the attendance of absent members in such manner and under
such penalties as each House may provide.
2. Each House may determine the rules of its proceedings,
punish its members for disorderly behavior, and with the con-
currence of two-thirds expel a member.
3. Each House shall keep a journal of its proceedings, and from
time to time publish the same, excepting such parts as may in
Constitution of the United States. 5
their judgment require secrecy, and the yeas and nays of the mem-
bers of either House on any question shall, at the desire of one-
fifth of those present, be entered on the journal.
4. Xeither House, during the session of Congress, shall, with-
out the consent of the other, adjourn for more than three days,
nor to any other place than that in which the two Houses shall
be sitting.
Section VI. 1. The Senators and Representatives shall re-
ceive a compensation for their services, to be ascertained by law,
and paid out of the Treasury of the United States. They shall
in all cases, except treason, felony, and breach of the peace, be
privileged from arrest during their attendance at the session of
their respective Houses, and in going to and returning from the
same, and for any speech or debate in either House they shall not
be questioned in any other place.
2. Xo Senator or Representative shall, during the time for
which he was elected, be appointed to any civil office under the
authority of the United States which shall have been created, or
the emoluments whereof shall have been increased during such
time; and no person holding any office under the United States
shall be a member of either House during his continuance in office.
Section VII. 1. All bills for raising revenue shall originate
in the House of Representatives, but the Senate may propose or
concur with amendments, as in other bills.
2. Every bill which shall have passed the House of Representa-
tives and the Senate shall, before it become a law, be presented to
the President of the United States; if he approve, he shall sign
it, but if not, he shall return it, with his objections, to that House
in which it shall have originated, who shall enter the objections at
large on their journal, and proceed to reconsider it. If after such
reconsideration two-thirds of that House shall agree to pass the
bill, it shall be sent, together with the objections, to the other
House, by which it shall likewise be reconsidered ; and if approved
by two-thirds of that House it shall become a law. But in all such
cases the votes of both Houses shall be determined by yeas and
nays, and the names of the persons voting for and against the bill
shall be entered on the journal of each House respectively. If
any bill shall not be returned by the President within ten days
(Sundays excepted) after it shall have been presented to him,
the same shall be a law in like manner as if he had signed it,
unless the Congress by their adjournment prevent its return; in
which case it shall not be a law.
3. Every order, resolution, or vote to which the concurrence of
the Senate and House of Representatives may be necessary (ex-
cept on a question of adjournment) shall be presented to the
President of the United States; and before the same shall take
effect shall be approved by him, or being disapproved by him, shall
be repassed by two-thirds of the Senate and the House of Repre-
sentatives, according to the rules and limitations prescribed in the
case of a bill.
6 Constitution of the United States.
Section VIII. 1. The Congress shall have power:
To lay and collect taxes, duties, imposts, and excises, to pay
the debts and provide for the common defence and general welfare
of the United States ; but all duties, imposts, and excises shall be
uniform throughout the United States.
2. To borrow money on the credit of the United States.
3. To regulate commerce with foreign nations, and among the
several States, and with the Indian tribes.
4. To establish an uniform rule of naturalization and uniform
laws on the subject of bankruptcies throughout the United States.
5. To coin money, regulate the value thereof, and of foreign
coin, and fix the standard of weights and measures.
6. To provide for the punishment of counterfeiting the securities
and current coin of the United States.
7. To establish post-offices and post-roads.
8. To promote the progress of science and useful arts by se-
curing for limited times to authors and inventors the exclusive
rights to their respective writings and discoveries.
9. To constitute tribunals inferior to the Supreme Court.
10. To define and punish piracies and felonies committed on
the high seas, and offences against the law of nations.
11. To declare war, grant letters of marque and reprisal, and
make rules concerning captures on land and Water.
12. To raise and support armies, but no appropriation of money
to that use shall be for a longer term than two years.
13. To provide and maintain a navy.
14. To make rules for the government and regulation of the
land and naval forces.
15. To provide for calling forth the militia to execute the laws
of the Union, suppress insurrections, and repel invasions.
16. To provide for organizing, arming, and disciplining the
militia, and for governing such part of them as may be employed
in the service of the United States, reserving to the States re-
spectively the appointment of the officers, and the authority of
training the militia according to the discipline prescribed by
Congress.
17. To exercise exclusive legislation in all cases whatsoever over
such district (not exceeding ten miles square) as may, by cession
of particular States and the acceptance of Congress, become the
seat of Government of the United States, and to exercise like
authority over all places purchased by the consent of the Legis-
lature of the State in which the same shall be, for the erection of
forts, magazines, arsenals, dry-docks, and other needful buildings.
18. To make all laws which shall be necessary and proper for
carrying into execution the foregoing powers, and all other powers
vested by this Constitution in the Government of the United
States, or in any department or officer thereof.
Section IX. 1. The migration or importation of such persons
as any of the States now existing shall think proper to admit shall
not be prohibited by the Congress prior to the year one thousand
Constitution of the United States. 7
eight hundred and eight, but a tax or duty may be imposed on
such importation, not exceeding ten dollars for each person.
2. The privilege of the writ of habeas corpus shall not be sus-
pended, unless when in cases of rebellion or invasion the public
safety may require it.
3. No bill of attainder or ex post facto law shall be passed.
4. No capitation or other direct tax shall be laid, unless in pro-
portion to the census or enumeration hereinbefore directed to be
taken.
5. No tax or duty shall be laid on articles exported from anv
State.
6. No preference shall be given by any regulation of commerce
or revenue to the ports of one State over those of another, nor
shall vessels bound to or from one State be obliged to enter, clear,
or pay duties in another.
7. No money shall be drawn from the Treasury but in conse-
quence of appropriations made by law; and a regular statement
and account of the receipts and expenditures of all public money
shall be published from time to time.
8. No title of nobility shall be granted by the United States.
And no person holding any office of profit or trust under them
shall, without the consent of Congress, accept of any present, emolu-
ment, office, or title of any kind whatever from any king, prince,
or foreign state.
Section X. 1. No State shall enter into any treaty, alliance,
or confederation, grant letters of marque and reprisal, coin money,
emit bills of credit, make anything but gold and silver coin a
tender in payment of debts, pass any bill of attainder, ex post
facto law, or law impairing the obligation of contracts, or grant
any title of nobility.
2. No State shall, without the consent of the Congress, lay any
impost or duties on imports or exports, except what may be abso-
lutely necessary for executing its inspection laws, and the net
produce of all duties and imposts, laid by any State on imports or
exports, shall be for the use of the Treasury of the United States;
and all such laws shall be subject to the revision and control of
the Congress.
3. No State shall, without the consent of Congress, lay any
duty of tonnage, keep troops or ships of war in time of peace,.
enter into any agreement or compact with another State, or with a
foreign power, or engage in war, unless actually invaded, or in*
such imminent danger as will not admit of delay.
ARTICLE II.
Section I. 1. The Executive power shall be vested in a Presi-
dent of the United States of America. He shall hold his office
during the term of four years, and, together with the Vice-Presi-
dent, chosen for the same term, be elected as follows:
2. Each State shall appoint, in such manner as the Legislature-
8 Constitution of the United States
thereof may direct, a number of electors, equal to the whole num-
ber of Senators and Representatives to which the State may be
entitled in the Congress ; but no Senator or Representative or per-
son holding an office of trust or profit under the United States
shall be appointed an elector.
3. [The electors shall meet in their respective States and vote
by ballot for two persons, of whom one at least shall not be an
inhabitant of the same State with themselves. And they shall
make a list of all the persons voted for, and of the number of
votes for each, which list they shall sign and certify and transmit,
sealed, to the seat of the Government of the United States, di-
rected to the President of the Senate. The President of the Sen-
ate shall, in the presence of the Senate and House of Representa-
tives, open all the certificates, and the votes shall then be counted.
The person having the greatest number of votes shall be the
President, if such number be a majority of the whole number of
electors appointed, and if there be more than one who have such
majority, and have an equal number of votes, then the House of
Representatives shall immediately choose by. ballot one of them
for President; and if no person have a majority, then from the
five highest on the list the said House shall in like manner choose
the President. But in choosing the President, the vote shall be
taken by States, the representation from each State having one
vote. A quorum, for this purpose, shall consist of a member or
members from two-thirds of the States, and a majority of all the
States shall be necessary to a choice. In every case, after the
choice of the President, the person having the greatest number of
votes of the electors shall be the Vice-President. But if there
should remain two or more who have equal votes, the Senate shall
choose from them by ballot the Vice-President.]*
4. The Congress may determine the time of choosing the elec-
tors and the day on which they shall give their votes, which day
shall be the same throughout the United States.
5. No person except a natural born citizen, or a citizen of the
United States at the time of the adoption of this Constitution,
shall be eligible to the office of President ; neither shall any person
be eligible to that office who shall not have attained to the age of
thirty-five years and been fourteen years a resident within the
United States.
6. In case of the removal of the President from office, or of his
death, resignation, or inability to discharge the powers and duties
of the said office, the same shall devolve on the Vice-President,
and the Congress may by law provide for the case of removal,
death, resignation, or inability, both of the President and Vice-
President, declaring what officer shall then act as President, and
such officer shall act accordingly until the disability be removed
or a President shall be elected.
* This clause is superseded by Article XII., Amendments.
Constitution of the United States. 9
7. The President shall, at stated times, receive for his services a
compensation, which shall neither be increased nor diminished
during the period for which he shall have been elected, and he
shall not receive within that period any other emolument from
the United States, or any of them.
8. Before he enter on the execution of his office he shall take
the following oath or affirmation:
"I do solemnly swear (or affirm) that I will faithfully execute
the office of President of the United States, and will, to the best
of my ability, preserve, protect, and defend the Constitution of
the United States."
Section II. 1. The President shall be Commander-in-Chief
of the Army and Navy of the United States, and of the militia
of the several States when called into the actual service of the
United States ; he may require the opinion, in writing, of the prin-
cipal officer in each of the executive departments upon any sub-
ject relating to the duties of their respective offices, and he shall
have power to grant reprieves and pardons for offences against the
United States except in cases of impeachment.
2. He shall have power, by and with the advice and consent of the
Senate, to make treaties, provided two-thirds of the Senators pres-
ent concur ; and he shall nominate, and by and with the advice and
consent of the Senate shall appoint ambassadors, other public
ministers and consuls, judges of the Supreme Court, and all other
officers of the United States whose appointments are not herein
otherwise provided for, and which shall be established by law;
but the Congress may by law vest the appointment of such inferior
officers as they think proper in the President alone, in the courts
of law, or in the heads of departments.
3. The President shall have power to fill up all vacancies that
may happen during the recess of the Senate by granting com-
missions, which shall expire at the end of their next session.
Section III. He shall from time to time give to the Congress
information of the state of the Union, and recommend to their
consideration such measures as he shall judge necessary and ex-
pedient; he may, on extraordinary occasions, convene both
Houses, or either of them, and in case of disagreement between
them with respect to the time of adjournment, he may adjourn
them to such time as he shall think proper; he shall receive am-
bassadors and other public ministers ; he shall take care that the
laws be faithfully executed, and shall commission all the officers
of the United States.
Section IV. The President, Vice-President, and all civil
officers of the United States shall be removed from office on im-
peachment for and conviction of treason, briber}'-, or other high
crimes and misdemeanors.
ARTICLE III.
Section I. The judicial power of the United States shall be
vested in one Supreme Court, and in such inferior courts as the
io Constitution of the United States.
Congress may from time to time ordain and establish. The judges,
both of the Supreme and inferior courts, shall hold their offices
during good behavior, and shall at stated times receive for their
services a compensation which shall not be diminished during their
continuance in office.
Section II. 1. The judicial power shall extend to all cases
in law and equity arising under this Constitution, the laws of the
United States, and treaties made, or which shall be made, under
their authority; to all cases affecting ambassadors, other public
ministers, and consuls; to all cases of admiralty and maritime
jurisdiction; to controversies to which the United States shall
be a party; to controversies between two or more States, between
a State and citizens of another State, between citizens of different
States, between citizens of the same State claiming lands under
grants of different States, and between a State, or the citizens
thereof, and foreign States, citizens, or subjects.
2. In all cases affecting ambassadors, other public ministers,
and consuls, and those in which a State shall be party, the Su-
preme Court shall have original jurisdiction. In all the other
cases before-mentioned the Supreme Court shall have appellate
jurisdiction both as to law and fact, with such exceptions and
under such regulations as the Congress shall make.
3. The trial of all crimes, except in cases of impeachment,
shall be by jury, and such trial shall be held in the State where
the said crimes shall have been committed, but when not com-
mitted within any State the trial shall be at such place or places
as the Congress may by law have directed.
Section III. 1. Treason against the United States shall con-
sist only in levying war against them, or in adhering to their
enemies, giving them aid and comfort. No person shall be con-
victed of treason unless on the testimony of two witnesses to the
same overt act, or on confession in open court.
2. The Congress shall have power to declare the punishment of
treason, but no attainder of treason shall work corruption of blood
or forfeiture except during the life of the person attainted.
ARTICLE IV.
Section I. Full faith and credit shall be given in each State
to the public acts, records, and judicial proceedings of every other
State. And the Congress may by general laws prescribe the man-
ner in which such acts, records and proceedings shall be proved,
and the effect thereof.
Section II. 1. The citizens of each State shall be entitled to
all privileges and immunities of citizens in the several States.
2. A person charged in any State with treason, felony, or other
crime, who shall flee from justice, and be found in another State,
shall, on demand of the Executive authority of the State from
which he fled, be delivered up, to be removed to the State having
jurisdiction of the crime.
Constitution of the United States. 1 1
3. No person held to service or labor in one State, under the laws
thereof, escaping into another shall, in consequence of any law or
regulation therein, be discharged from such service or labor, but
shall be delivered up on claim of the party to whom such service
or labor may be due.
Section III. 1. New States may be admitted by the Congress
into this Union ; but no new State shall be formed or erected
within the jurisdiction of any other State, nor any State be
formed by the junction of two or more States, or parts of States,
without the consent of the Legislatures of the States concerned,
as well as of the Congress.
2. The Congress shall have power to dispose of and make all
needful rules and regulations respecting the territory or other
property belonging to the United States; and nothing in this
Constitution shall be so construed as to prejudice any claims of
the United States, or of any particular State.
Section IV. The United States shall guarantee to every State
in this Union a republican form of government, and shall protect
each of them against invasion, and, on application of the Legisla-
ture, or of the Executive (when the Legislature cannot be con-
vened), against domestic violence.
ARTICLE V.
The Congress, whenever two-thirds of both Houses shall deem
it necessary, shall propose amendments to this Constitution, or,
on the application of the Legislatures of two-thirds of the several
States, shall call a convention for proposing amendments, which,
in either case, shall be valid to all intents and purposes, as part
of this Constitution, when ratified by the Legislatures of three-
fourths of the several States, or by conventions of three-fourths
thereof, as the one or the other mode of ratification may be pro-
posed by the Congress; provided that no amendment which may
be made prior to the year one thousand eight hundred and eight
shall in any manner affect the first and fourth clauses in the
Ninth Section of the First Article; and that no State, without
its consent, shall be deprived of its equal suffrage in the Senate.
ARTICLE VI.
1. All debts contracted and engagements entered into before
the adoption of this Constitution shall be as valid against the
United States under this Constitution as under the Confederation.
2. This Constitution and the lawrs of the United States which
shall be made in pursuance thereof and all treaties made, or
which shall be made, under the authority of the United States,
shall be the supreme law of the land, and the judges in every State
shall be bound thereby, anything in the Constitution or laws of
any State to the contrary notwithstanding.
3. The Senators and Representatives before mentioned, and the
members of the several State Legislatures, and all executive and
12 Constitution of the United States.
judicial officers, both of the United States and of the several
States, shall be bound by oath or affirmation to support this Con-
stitution; but no religious test shall ever be required as a quali-
fication to any office or public trust under the United States.
ARTICLE VII.
The ratification of the Conventions of nine States shall be suffi-
cient for the establishment of this Constitution between the States
so ratifying the same.
AMENDMENTS TO THE CONSTITUTION.
ARTICLE I.
Congress shall make no law representing an establishment of
religion, or prohibiting the free exercise thereof; or abridging the
freedom of speech or of the press; or the right of the people
peaceably to assemble, and to petition the Government for a re-
dress of grievances.
ARTICLE II.
A well-regulated militia being necessary to the security of a
free State, the right of the people to keep and bear arms shall not
be infringed.
ARTICLE III.
No soldier shall, in time of peace, be quartered in any house
without the consent of the owner, nor in time of war but in a man-
ner to be prescribed by law.
ARTICLE IV.
The right of the people to be secure in their persons, houses,
papers, and effects, against unreasonable searches and seizures,
shall not be violated, and no warrants shall issue but upon proba-
ble cause, supported by oath or affirmation, and particularly de-
scribing the place to be searched, and the persons or things to be
seized.
ARTICLE V.
No person shall be held to answer for a capital or other in-
famous crime unless on a presentment or indictment of a grand
jury, except in cases arising in the land or naval forces, or in the
militia, when in actual service, in time of war or public danger;
nor shall any person be °ubject for the same offence to be twice
Constitution of the United States. 13
put in jeopardy of life or limb; nor shall be compelled in any
criminal case to be a witness against himself, nor be deprived of
life, liberty, or property, without due process of law; nor shall
private property be taken for public use without just compensa-
tion.
ARTICLE VI.
In all criminal prosecutions, the accused shall enjoy the right
to a speedy and public trial, by an impartial jury of the State and
district wherein the crime shall have been committed, which dis-
trict shall have been previously ascertained by law, and to be in-
formed of the nature and cause of the accusation; to be con-
fronted with the witnesses against him; to have compulsory
process for obtaining witnesses in his favor, and to have the as-
sistance of counsel for his defence.
ARTICLE VII.
In suits at common law, where the value in controversy shall
exceed twenty dollars, the right of trial by jury shall be pre-
served, and no fact tried by a jury shall be otherwise re-examined
in any court of the United States than according to the rules of
the common law.
ARTICLE VIII.
Excessive bail shall not be required, nor excessive fines imposed,
nor cruel and unusual punishments inflicted.
ARTICLE IX.
The enumeration in the Constitution of certain rights shall
not be construed to deny or disparage others retained by the peo-
ple.
ARTICLE X.
The powers not delegated to the United States by the Consti-
tution, nor prohibited by it to the States, are reserved to the
States respectively, or to the people.
ARTICLE XL
The judicial power of the United States shall not be construed
to extend to any suit in law or equity, commenced or prosecuted
against one of the United States, by citizens of another State, or
by citizens or subjects of any foreign State.
ARTICLE XII.
The electors shall meet in their respective States, and vote by
ballot for President and Vice-President, one of whom at least
shall not be an inhabitant of the same State with themselves;
they shall name in their ballots the person voted for as President,
14 Constitution of the United States.
and in distinct ballots the person voted for as Vice-President;
and they shall make distinct lists of all persons voted for as
President, and of all persons voted for as Vice-President, and of
the number of votes for each, which list they shall sign and certify,
and transmit, sealed, to the seat of Government of the United
States, directed to the President of the Senate; the President of
the Senate shall, in the presence of the Senate and House of Rep-
resentatives, open all the certificates, and the votes shall then be
counted ; the person having the greatest number of votes for Presi-
dent shall be the President, if such number be a majority of the
whole number of electors appointed; and if no person have such
majority, then from the persons having the highest numbers, not
exceeding three, on the list of those voted for as President, the
House of Representatives shall choose immediately, by ballot, the
President. But in choosing the President, the votes shall be taken
by States, the representation from each State having one vote; a
quorum for this purpose shall consist of a member or members from
two-thirds of the States, and a majority of all the States shall be
necessary to a choice. And if the House of Representatives shall
not choose a President, whenever the right of choice shall devolve
upon them, before the fourth day of March next following, then
the Vice-President shall act as President, as in the case of the
death, or other constitutional disability of the President. The
person having the greatest number of votes as Vice-President shall
be the Vice-President, if such number be a majority of the whole
number of electors appointed, and if no person have a majority,
then from the two highest numbers on the list the Senate shall
choose the Vice-President; a quorum for the purpose shall consist
of two-thirds of the whole number of Senators, and a majority of
the whole number shall be necessary to a choice. But no person
constitutionally ineligible to the office of President shall be eligible
to that of Vice-President of the United States.
ARTICLE XIII.
1. Neither slavery nor involuntary servitude, except as a pun-
ishment for crime whereof the party shall have been duly con-
victed, shall exist within the United States, or any place subject
to their jurisdiction.
2. Congress shall have power to enforce this article by appro-
priate legislation.
ARTICLE XIV.
1. All persons born or naturalized in the United States, and
subject to the jurisdiction thereof, are citizens of the United
States and of the State wherein they reside. No State shall make
or enforce any law which shall abridge the privileges or immuni-
ties of citizens of the United States; nor shall any State deprive
any person of life, liberty, or property without due process of law,
nor deny to any person within its jurisdiction the equal protection
of the laws.
Constitution of the United States. 15
2. Representatives shall be apportioned among the several States
according to their respective numbers, counting the whole number
of persons in each State, excluding Indians not taxed. But when
the right to vote at any election for the choice of electors for
President and Vice-President of the United States, Representatives
in Congress, the executive and judicial officers of a State, or the
members of the Legislature thereof, is denied to any of the male
members of such State, being of twenty-one years of age, and citi-
zens of the United States, or in any way abridged, except for par-
ticipation in rebellion or other crime, the basis of representation
therein shall be reduced in the proportion which the n-umber of
such male citizens shall hear to the whole number of male citi-
zens twenty-one years of age in such State.
3. No person shall be a Senator or Representative in Congress,
or elector of President and Vice-President, or hold any office,
civil or military, under the United States, or under any State,
who, having previously taken an oath, as a member of Congress,
or as an officer of the United States, or as a member of any State
Legislature, or as an executive or judicial officer of any State, to
support the Constitution of the United States, shall have engaged
in insurrection or rebellion against the same, or given aid and
comfort to the enemies thereof. But Congress may, by a vote of
two-thirds of each House, remove such disability.
4. The validity of the public debt of the United States, authorized
by law, including debts incurred for payment of pensions and
bounties for services in suppressing insurrection and rebellion,
shall not be questioned. But neither the United States nor any
State shall assume or pay any debt or obligation incurred in aid
of insurrection or rebellion against the United States, or any claim
for the loss or emancipation of any slave ; but all such debts, obli-
gations, and claims shall be held illegal and void.
5. The Congress shall have power to enforce by appropriate leg-
islation the provisions of this article.
ARTICLE XV.
1. The right of the citizens of the United States to vote shall
not be denied or abridged by the United States or by any State
on account of race, color, or previous condition of servitude.
2. The Congress shall have power to enforce the provisions of
this article by appropriate legislation.
THE PLATFORM OF THE DEMOCRATIC PARTY.
ADOPTED AT ST. LOUIS, JULY 8TH, 1904.
The Democratic Party of the United States, in National Con-
vention assembled, declares its devotion to the essential principles
of the Democratic faith which bring ns together in party com-
munion.
Under these principles local self-government and national unity
and prosperity were alike established. They underlaid our inde-
pendence, the structure of our free Republic and every Democratic
expansion from Louisiana to California, and Texas to Oregon,
which preserved faithfully in all the States the tie between taxa-
tion and representation. They yet inspirit the masses of our peo-
ple, guarding jealously their rights and liberties, and cherishing
their fraternity, peace, and orderly development. They remind
us of our duties and responsibilities as citizens, and impress upon
us, particularly at this time, the necessity of reform and the rescue
of the administration of government from the headstrong, arbi-
trary, and spasmodic methods which distract business by uncer-
tainty, and pervade the public mind with dread, distrust, and
perturbation.
FUNDAMENTAL PRINCIPLES.
The application of these fundamental principles to the living
issues of the day constitutes the first step toward the assured peace,
safety, and progress of our nation. Freedom of the press, of con-
science, and of speech ; equality before the law of all citizens ;
right of trial by jury; freedom of the person defended by the writ
of habeas corpus; liberty of personal contract untrammeled by
sumptuary laws; supremacy of the civil over the military author-
ity; a well-disciplined militia ; separation of church and State ;
-economy in expenditures; low taxes, that labor may be lightly
burdened; prompt and sacred fulfillment of public and private
obligations; fidelity to treaties; peace and friendship with all
nations, entangling alliances with none; absolute acquiescence in
the will of the majority, the vital principle of Republics — these
are doctrines which Democracy has established as proverbs of the
nation, and they should be constantly invoked, and enforced.
ECOMONY OF ADMINISTRATION.
Large reductions can easily be made in the annual expenditures
of the Government without impairing the efficiency of any branch
of the public service, and we shall insist upon the strictest economy
and frugality compatible with vigorous and efficient civil, military
and naval administration, as a right of the people, too clear to be
denied or withheld.
The Platform of the Democratic Party. 17
HONESTY IN THE PUBLIC SERVICE.
We favor the enforcement of honesty in the public service, and
to that end a thorough legislative investigation of those executive
departments of the Government already known to teem with cor-
ruption, as well as other departments suspected of harboring cor-
ruption, and the punishment of ascertained corruptionists, with-
out fear or favor or regard to persons. The persistent and de-
liberate refusal of both the Senate and the House of Representa-
tives to permit such investigation to be made demonstrates that
only by a change in the executive and in the legislative depart-
ments can complete exposure, punishment, and correction be ob-
tained.
FEDERAL GOVERNMENT CONTRACTS WITH TRUSTS.
We condemn the action of the Republican Party in Congress in
refusing to prohibit an executive department entering into con-
tracts with convicted trusts or unlawful combinations in restraint
of interstate trade. We believe that one of the best methods of
procuring economy and honesty in the public sendee is to have
public officials, from the occupant of the White House down to
the lowest of them, return, as nearly as may be, to Jeffersonian
simplicity of living.
EXECUTIVE USURPATION.
We favor the nomination and election of a President imbued
with the principles of the Constitution, who will set his face sternly
against executive usurpation of legislative and judicial functions,
whether that usurpation be veiled under the guise of executive
construction of existing laws, or whether it take refuge in the
tyrant's pleas of necessity or superior wisdom.
IMPERIALISM.
We favor the preservation, so far as we can, of an open door for
the world's commerce in the Orient without unnecessary entangle-
ment in Oriental and European affairs, and without arbitrary, un-
limited, irresponsible and absolute government anywhere within
our jurisdiction. We oppose, as fervently as did George Washing-
ton, an indefinite, irresponsible, discretionary, and vague absolu-
tism and a policy of colonial exploitation, no matter where or by
whom invoked or exercised. We believe with Thomas Jefferson
and John Adams, that no government has a right to make one
set of laws for those "at home" and another and a different set of
laws, absolute in their character, for those "in the colonies." All
men under the American flag are entitled to the protection of the
institutions whose emblem the flag is ; if they are inherently unfit
for those institutions, then thev are inherently unfit to be mem-
bers of the American body politic. Wherever there may exist a
people incapable of being governed under American laws, in con-
sonance with the American Constitution, the territory of that
people ought not to be part of the American domain.
We insist that we ought to do for the Filipinos what we have
1 8 The Platform of the Democratic Party.
done already for the Cubans, and it is our duty to make that
promise now, and upon suitable guarantees of protection to citi-
zens of our own and other countries resident there at the time of
our withdrawal to set the Filipino people upon their feet, free and
independent, to work out their own destiny.
The endeavor of the Secretary of War, by pledging the Govern-
ment's endorsement for "promoters" in the Philippine Islands to
make the United States a partner in speculative exploitation of
the archipelago, which was only temporarily held up by the oppo-
sition of Democratic Senators in the last session, will, if success-
ful, lead to entanglements from which it will be difficult to escape.
TARIFF.
The Democratic Party has been, and will continue to be, the
consistent opponent of that class of tariff legislation by which cer-
tain interests have been permitted, through congressional favor,
to draw a heavy tribute from the American people. This monstrous
perversion of those equal opportunities which our political insti-
tutions were established to secure, has caused what may once have
been infant industries to become the greatest combinations of
capital that the world has ever known. These special favorites of
the Government have, through trust methods, been converted into
monopolies, thus bringing to an end domestic competition, which
was the only alleged check upon the extravagant profits made pos-
sible by the protective system. These industrial combinations, by
the financial assistance they can give, now control the policy of
the Republican Party.
We denounce protectionism as a robbery of the many to enrich
the few, and we favor a tariff limited to the needs of the Gov-
ernment economically, effectively, and constitutionally admin-
istered, and so levied as not to discriminate against any industry,
class or section, to the end that the burdens of taxation shall be
distributed as equally as possible.
We favor a revision and a gradual reduction of the tariff by the
friends of the masses and for the common weal, and not by the
friends of its abuses, its extortions and its discriminations, keep-
ing in view the ultimate end of "equality of burdens and equality
of opportunities," and the constitutional purpose of raising a rev-
enue by taxation, to wit, the support of the Federal Government in
all its integrity and virility, but in simplicity.'
TRUSTS AND UNLAWFUL COMBINATIONS.
We recognize that the gigantic trusts and combinations designed
to enable capital to secure more than its just share of the joint
product of capital and labor, and which have been fostered and
promoted under Republican rule, are a menace to beneficial com-
petition and an obstacle to permanent business prosperity.
A private monopoly is indefensible and intolerable.
Individual equality of opportunity and free competition are es-
sential to a healthy and permanent commercial prosperity; and
any trust, combination or monopoly tending to destroy these by
The Platform of the Democratic Party. 19
controlling production, restricting competition, or fixing prices
and wages, should be prohibited and punished by law. We espe-
cially denounce rebates and discriminations by transporation
companies as the most potent agency in promoting and strengthen-
ing these unlawful conspiracies against trade.
We demand an enlargement of the powers of the Interstate Com-
merce Commission, to the end that the traveling public and ship-
pers of this country may have prompt and adequate relief from the
abuses to which they are subjected in the matter of transportation.
We demand a strict enforcement of existing civil and criminal
statutes against all such trusts, combinations, and monopolies;
and we demand the enactment of such further legislation as may
be necessary effectually to suppress them.
Any trust or unlawful combination engaged in interstate com-
merce which is monopolizing any branch of business or production,
should not be permitted to transact business outside of the State
of its origin, whenever it shall be established in any court of com-
petent jurisdiction that such monopolization exists. Such pro-
hibition should be enforced through comprehensive laws to be en-
acted on the subject.
CAPITAL AND LABOR.
We favor the enactment and administration of laws giving labor
and capital impartially their just rights. Capital and labor ought
not to be enemies. Each is necessary to the other. Each has its
rights, but the rights of labor are certainly no less "vested," no less
"sacred," and no less "inalienable" than the rights of capital.
We favor arbitration of differences between corporate employers
and their employees, and a strict enforcement of the eight-hour
law on all Government work.
We approve the measure which passed the United States Senate
in 1896, but which a Eepublican Congress has ever since refused to
enact, relating to contempts in Federal courts and providing for
trial by jury in cases of indirect contempt.
CONSTITUTIONAL GUARANTEES.
Constitutional guarantees are violated whenever any citizen
is denied the right to labor, acquire and enjoy property/or reside
where interest or inclination may determine. Any denial thereof
by individuals, organizations, or governments should be summarily
rebuked and punished.
We deny the right of any executive to disregard or suspend any
constitutional privilege or limitation. Obedience to the laws and
respect for their requirements are alike the supreme duty of the
citizen and the official.
The military should be used only to support and maintain the
law. We unqualifiedly condemn its employment for the summary
banishment of citizens without trial, or for the control of elections.
WATERWAYS.
We favor liberal appropriations for the care and improvement
of the waterways of the country. When any waterway, like the
20 The Platform of the Democratic Party.
Mississippi Elver, is of sufficient importance to demand the special
aid of the Government, such aid should be extended with a definite
plan of continuous work until permanent improvement is secured.
We oppose the Republican policy of starving home development
in order to feed the greed for conquest and the appetite for national
"prestige" and display of strength.
RECLAMATION OF ARID LANDS AND DOMESTIC DEVELOPMENT.
We congratulate our Western citizens upon the passage of the
measure known as the Newlands Irrigation Act, for the irrigation
and reclamation of the arid lands of the West — a measure framed
by a Democrat, passed in the Senate by a non-partisan vote, and
passed in the House against the opposition of almost all the Re-
publican leaders by a vote the majority of which was Democratic.
We call attention to this great Democratic measure, broad and com-
prehensive as it is, working automatically throughout all time with-
out further action of Congress, until the reclamation of all the
lands in the arid West capable of reclamation is accomplished,
reserving the lands reclaimed for homeseekers, in small tracts, and
rigidly guarding against land monopoly, as an evidence of the
policy of domestic development contemplated by the Democratic
Party, should it be placed in power.
THE ISTHMIAN CANAL.
The Democracy when entrusted with power will construct the
Panama Canal speedily, honestly and economically, thereby giving
to our people what Democrats have always contended for — a great
inter-oceanic canal, furnishing shorter and cheaper lines of trans-
portation, and broader and less trammeled trade relations with the
other peoples of the world.
AMERICAN CITIZENSHIP.
We pledge ourselves to insist upon the just and lawful protec-
tion of our citizens at home and abroad, and to use all proper meas-
ures to secure for them, whether native-born or naturalized, and
without distinction of race or creed, the equal protection of laws
and the enjoyment of all rights and privileges open to them un-
der the covenants of our treaties of friendship and commerce ; and
if under existing treaties the right of travel and sojourn is denied
to American citizens or recognition is withheld from American
passports by any countries on the ground of race or creed, we
favor the beginning of negotiations with the governments of such
countries to secure by new treaties the removal of these unjust dis-
criminations.
We demand that all over the world a duly authenticated passport
issued by the Government of the United States to an American
citizen shall be proof of the fact that he is an American citizen,
and shall entitle him to the treatment due him as such.
ELECTION OF SENATORS BY THE PEOPLE.
We favor the election of United States Senators by direct vote
of the people.
The Platform of the Democratic Party. 21
STATEHOOD AND TERRITORIES.
We favor the admission of the Territory of Oklahoma and the
Indian Territory. We also favor the immediate admission of
Arizona and New Mexico, as separate States, and territorial govern-
ments for Alaska and Porto Eico.
We hold that the officials appointed to administer the govern-
ment of any Territory, as well as the District of Alaska, should be
bona fide residents at the time of their appointment of the Terri-
tory or District in which their duties are to be performed.
CONDEMNATION OF POLYGAMY.
We demand the extermination of polygamy within the jurisdic-
tion of the United States, and the complete separation of Church
and State in political affairs.
MERCHANT MARINE.
We denounce the ship subsidy bill recently passed by the United
States Senate as an iniquitous appropriation of public funds for
private purposes and a wasteful, illogical and useless attempt to
overcome by subsidy the obstructions raised by Eepublican legisla-
tion to the growth and development of American commerce on the
sea.
We favor the upbuilding of a merchant marine without new or
additional burdens upon the people and without bounties from the
public treasury.
RECIPROCITY.
We favor liberal trade arrangements with Canada, and with peo-
ples of other countries where they can be entered into with benefit
to American agriculture, manufactures, mining or commerce.
MONROE DOCTRINE.
We favor the maintenance of the Monroe doctrine in its full
integrity.
ARMY.
We favor the reduction of the Army and of Army expenditures
to the point historically demonstrated to be safe and sufficient.
PENSIONS. OUR SOLDIERS AND SAILORS.
The Democracy would secure to the surviving soldiers and their
dependents generous pensions, not by an arbitrary executive order,
but by legislation which a grateful people stand ready to enact.
Our soldiers and sailors who defend with their lives the Consti-
tution and the laws have a sacred interest in their just administra-
tion. They must, therefore, share with us the humiliation with
which we have witnessed the exaltation of court favorites, without
distinguished service, over the scarred heroes of many battles, or
aggrandizement by executive appropriations out of the treasuries
of prostrate peoples in violation of the act of Congress which fixes
the compensation or allowances of the military officers.
22 The Platform of the Democratic Party.
CIVIL SERVICE.
The Democratic Party stands committed to the principles of
civil service reform, and we demand their honest, just and impar-
tial enforcement.
We denounce the Republican Party for its continuous and sinis-
ter encroachments upon the spirit and operation of civil service
rules, whereby it has arbitrarily dispensed with examinations for
office in the interest of favorites, and employed all manner of de-
vices to overreach and set aside the principles upon which the Civil
Service is based.
SECTIONAL AND RACE AGITATION.
The race question has brought countless woes to this country.
The calm wisdom of the American people should see to it that it
brings no more.
To revive the dead and hateful race and sectional animosities
in any part of our common country means confusion, distraction
of business, and the reopening of wounds now happily healed.
North, South, East and West have but recently stood together in
line of battle from the walls of Pekin to the hills of Santiago,
and as sharers of a common glory and a common destiny, we should
share fraternally the common burdens.
We therefore deprecate and condemn the Bourbon-like, selfish
and narrow spirit of the recent Republican Convention at Chicago,
which sought to kindle anew the embers of racial and sectional
strife, and we appeal from it to the sober common sense and
patriotic spirit of the American people.
THE REPUBLICAN ADMINISTRATION.
The existing Republican administration has been spasmodic,
erratic, sensational, spectacular and arbitrary. It has made itself
a satire upon the Congress, courts, and upon the settled practices
and usages of national and international law.
It summoned the Congress in hasty and futile extra session
and virtually adjourned it, leaving behind in its flight from Wash-
ington uncalled calendars and unaccomplished tasks.
It made war, which is the sole power of Congress, without its
authority, thereby usurping one of its fundamental prerogatives.
It violated a plain statute of the United States as well as plain
treaty obligations, international usages and constitutional law;
and has done so under pretense of executing a great public policy
which could have been more easily effected lawfully, constitution-
ally and with honor.
It forced strained and unnatural constructions upon statutes,
usurping judicial interpretation, and substituting for congressional
enactment executive decree.
It withdrew from the Congress its customary duties of investi-
gation which have heretofore made the representatives of the
people and the States the terror of evil-doers.
It conducted a secretive investigation of its own, and boasting
of a few sample convicts, it threw a broad coverlet over the bu-
The Platform of the Democratic Party. 23
reaus which had been their chosen field of operative abuses, and
kept in power the superior officers under whose administration the
crimes had been committed.
It ordered assault upon some monopolies, but, paralyzed by a
first victory, it flung out the flag of truce and cried out that it
would not "run amuck"; leaving its future purposes beclouded by
its vacillations.
APPEAL TO THE PEOPLE.
Conducting the campaign upon this declaration of our principles
and purposes, we invoke for our candidates the support not only
of our great and time-honored organization, but also the active
assistance of all of our fellow-citizens who, disregarding past differ-
ences, desire the perpetuation of our constitutional Government as
framed and established by the fathers of the Republic.
Subsequent to the adoption of the platform Judge Parker was
nominated for President, receiving two-thirds of the votes cast
on the first ballot, and the nomination was then made unanimous.
The following telegram was sent by Judge Parker for communica-
tion to the Convention :
"Esopus, N. Y., July 9, 1904.
"Hon. Wm. F. Sheehan, Hotel Jefferson :
"I regard the gold standard as firmly and irrevocably estab-
lished, and shall act accordingly if the act of the convention to-
day shall be ratified by the people.
"As the platform is silent on the subject, my view should be
known to the convention; and if it is proved to be unsatisfac-
tory to the majority, I request you to decline the nomination for
me, so that another may be nominated before adjournment.
"(Signed) Alton B. Parker."
At the final session of the Convention, after consideration of
the telegram, the Convention voted that the following reply should
be sent to the candidate:
"The platform adopted by this convention is silent on the ques-
tion of the monetary standard because it is not regarded by us
as a possible issue in this campaign, and only campaign issues
were mentioned in the platform. Therefore, there is nothing
in the views expressed by you in the telegram just received which
would preclude a man entertaining them from accepting the nom-
ination on said platform."
THE PLATFORM OF THE REPUBLICAN PARTY.
ADOPTED AT CHICAGO, JUNE 22, 1904.
Fifty years ago the Kepublican party came into existence dedi-
cated among other purposes to the great task of arresting the ex-
tension of human slavery. In 1860 it elected its first President.
During 24 of the 44 years which have elapsed since the election
of Lincoln, the Republican party has held complete control of
the government. For 18 more of the 44 years it has held partial
control through the possession of one or two branches of the gov-
ernment, while the Democratic party during the same period has
had complete control for only two years. This long tenure of
power by the Republican party is not due to chance. It is a
demonstration that the Republican party has commanded the con-
fidence of the American people for nearly two generations to. a
degree never equaled in our history, and has displayed a high ca-
pacity for rule and government which has been made even more
conspicuous by the incapacity and infirmity of purpose shown by
its opponents.
CONDITIONS IN 1897.
The Republican party entered upon its present period of com-
plete supremacy in 1897. We have every right to congratulate
ourselves upon the work since then accomplished, for it has added
lustre even to the traditions of the party which carried the gov-
ernment through the storms of Civil War.
We then found the country after four years of Democratic
rule in evil- plight, oppressed with misfortune and doubtful of
the future. Public credit had been lowered, the revenues were
declining, the debt was growing, the administration's attitude
toward Spain was feeble and mortifying, the standard of values
was threatened and uncertain, labor was unemployed, business
was sunk in the depression which had succeeded the panic of 1893,
hope was faint and confidence was gone.
We met these unhappy conditions vigorously, effectively, and
at once.
THE TARIFF LAW.
We replaced a Democratic tariff law based on free trade prin-
ciples and garnished with sectional protection by a consistent pro-
tective tariff, and industry, freed from oppression and stimulated
by the encouragement of wTise laws, has expanded to a degree never
before known, has conquered new markets, and has created a vol-
ume of exports which has surpassed imagination. Under the
Dingley tariff labor has been fully employed, wages have risen,
and all industries have revived and prospered.
We firmly established the gold standard which was then men-
The Platform of the Republican Party. 25
aced with destruction. Confidence returned to business, and with
confidence an unexampled prosperity.
REVENUES.
For deficient revenues, supplemented by improvident issues of
bonds, we gave the country an income which produced a large
surplus and which enabled us only four years after the Spanish
war had closed to remove over $100,000,000 of annual war taxes,
reduce the public debt, and lower the interest charges of the gov-
ernment.
THE PUBLIC CREDIT RESTORED.
The public credit, which had been so lowered that in time of
peace a Democratic administration made large loans at extrav-
agant rates of interest in order to pay current expenditures, rose
under Republican administration to its highest point and enabled
us to borrow at 2 per cent, even in time of war.
CUBA.
We refused to palter longer with the miseries of Cuba. We
fought a quick and victorious war with Spain. We set Cuba
free, governed the Island for three years, and then gave it to the
Cuban people with order restored, with ample revenues, writh edu-
cation and public health established, free from debt, and connected
with the United States by wise provisions for our mutual interests.
PORTO RICO.
We have organized the government of Porto Rico, and its peo-
ple now enjoy peace, freedom, order, and prosperity.
THE PHILIPPINES.
In the Philippines we have suppressed insurrection, established
order, and given to life and property a security never known there
before. We have organized civil government, made it effective
and strong in administration, and have conferred upon the peo-
ple of those islands the largest civil liberty they have ever enjoyed.
By our possession of the Philippines we were enabled to take
prompt and effective action in the relief of the legations at Peking
and a. decisive part in preventing the partition and preserving the
integrity of China.
THE ISTHMIAN CANAL.
The possession of a route for an isthmian canal, so long the
dream of American statesmanship, is now an accomplished fact.
The great work of connecting the Pacific and Atlantic by a canal
is at last begun, and it is due to the Republican party.
THE ARID LANDS.
We have passed the laws which will bring the arid lands of
the United States within the area of cultivation.
THE ARMY AND NAVY.
We have reorganized the army and put it in the highest state
of efficiency.
26 The Platform of the Republican Party.
We have passed laws for the improvement and support of the
militia.
We have pushed forward building of the navy, the defense
and protection of our honor and our interests.
Our administration of the great departments of the government
has been honest and efficient, and wherever wrong-doing has been
discovered, the Republican administration has not hesitated to
probe the evil and bring offenders to justice without regard to party
or political ties.
THE GREAT CORPORATIONS.
Laws enacted by the Republican party which the Democratic
party failed to enforce and which were intended for the protec-
tion of the public against the unjust discrimination or the illegal
encroachment of vast aggregations of capital, have been fearlessly
enforced by a Republican President, and new laws insuring rea-
sonable publicity as to the operations of great corporations, and
providing additional remedies for the prevention of discrimina-
tion in freight rates, have been passed by a Republican Congress.
In this record of achievement during the past eight years may
be read the pledges which the Republican party has fulfilled. We
promise to continue these policies, and we declare our constant
adherence to the following principles:
PROTECTION TO AMERICAN INDUSTRIES.
Protection which guards and develops our industries, is a car-
dinal policy of the Republican party. The measure of protec-
tion should always at least equal the difference in the cost of
production at home and abroad. We insist upon the maintenance
of the principle of protection, and, therefore, rates of duty should
be readjusted only when conditions have so changed that the pub-
lic interest demands their alteration, but this work cannot safely
be committed to any other hands than those of the Republican
party. To intrust it to the Democratic party is to invite disas-
ter. Whether, as in 1892, the Democratic party declares the pro-
tective tariff unconstitutional, or whether it demands tariff re-
form or tariff revision, its real object is always the destruction
of the protective system. However specious the name, the pur-
pose is ever the same. A Democratic tariff has always been fol-
lowed by business adversity; a Republican tariff by business pros-
perity. To a Republican Congress and a Republican President
this great question can be safely intrusted. When the only free
trade country among the great nations agitates a return to protec-
tion, the chief protective country should not falter in maintaining it.
FOREIGN MARKETS EXTENDED.
We have extended widely our foreign markets, and we believe
in the adoption of all practicable methods for their further ex-
tension, including commercial reciprocity wherever reciprocal ar-
rangements can be effected consistent with the principles of pro-
The Platform of the Republican Party. 27
tection and without injury to American agriculture, American
labor, or any American industry.
THE GOLD STANDARD.
We believe it to be the duty of the Republican party to uphold
the gold standard and the integrity and value of our national
currency. The maintenance of the gold standard, established by
the Republican party, cannot safely be committed to the Demo-
cratic party, which resisted its adoption and has never given any
proof since that time of belief in it or fidelity to it.
AMERICAN SHIPPING.
While every other industry has prospered under the fostering
aid of Republican legislation, American shipping engaged in for-
eign trade in competition with the low cost of construction, low
wages, and heavy sudsidies of foreign governments, has not for
many years received from the government of the United States
adequate encouragement of any kind. We therefore favor leg-
islation which will encourage and build lip the American mer-
chant marine, and we cordially approve the legislation of the last
Congress which created the Merchant Marine Commission to in-
vestigate and report upon this subject.
A navy powerful enough to defend the United States against
any attack, to uphold the Monroe doctrine, and watch over our com-
merce, is essential for the safety and the welfare of the Ameri-
can people. To maintain such a navy is the fixed policy of the
Republican party.
CHINESE LABOR.
We cordially approve the attitude of President Roosevelt and
Congress in regard to the exclusion of Chinese labor, and promise
a continuance of the Republican policy in that direction.
CIVIL SERVICE.
The civil-service law was placed on the statute books by the
Republican party, which has always sustained it, and we renew
our former declarations that it shall be thoroughly and honestly
enforced.
THE SOLDIERS AND SAILORS.
We are always mindful of the country's debt to the soldiers and
sailors of the United States, and we believe in making ample pro-
vision for them and in the liberal administration of the pension
laws.
ARBITRATION.
We favor the peaceful settlement of international differences
by arbitration.
PROTECTION OF CITIZENS ABROAD.
We commend the vigorous efforts made by the administration
to protect American citizens in foreign lands, and pledge our-
selves to insist upon the just and equal protection of all our citizens
28 The Platform of the Republican Party.
abroad. It is the unquestioned duty of the government to pro-
cure for all our citizens, without distinction, the rights of travel
and sojourn in friendly countries, and we declare ourselves in
favor of all proper efforts tending to that end.
THE ORIENT.
Our great interests and our growing commerce in the Orient
render the condition of China of high importance to the United
States. We cordially commend the policy pursued in that direc-
tion by the administration of President McKinley and President
Roosevelt.
THE ELECTIVE FRANCHISE.
We favor such Congressional action as shall determine whether
by special discriminations the elective franchise in any State has
been unconstitutionally limited, and, if such is the case, we de-
mand that representation in Congress and in the electoral col-
leges shall be proportionally reduced as directed by the Constitu-
tion of the United States.
COMBINATIONS OF CAPITAL AND OF LABOR.
Combinations of capital and of labor are the results of the eco-
nomic movement of the age, but neither can be permitted to in-
fringe upon the rights and interests of the people. Such com-
binations, when lawfully formed for lawful purposes, are alike en-
titled to the protection of the laws, but both are subject to the
laws and neither can be permitted to break them.
OUR LAMENTED PRESIDENT.
The great statesman and patriotic American, William McKin-
ley, who was re-elected by the Republican party to the Presidency
four years ago, was assassinated just at the threshold of his sec-
ond term. The entire nation mourned his untimely death and
did that justice to his great qualities of mind and character which
history will confirm and repeat.
PRESIDENT ROOSEVELT.
The American people were fortunate in his successor, to whom
they turned with a trust and confidence which have been fully
justified. President Roosevelt brought to the great responsibili-
ties thus sadly forced upon him a clear head, a brave heart, an
earnest patriotism, and high ideals of public duty and public serv-
ice. True to the principles of the Republican party and to the
policies which that party had declared, he has also shown him-
self ready for every emergency and has met new and vital ques-
tions with ability and with success.
The confidence of the people in his juctice, inspired by his pub-
lic career, enabled him to render personally an inestimable service
to the country by bringing about a settlement of the coal strike,
which threatened such disastrous results at the opening of winter
in 1902.
The Platform of the Republican Party. 29
Our foreign policy under his administration has not only been
able, vigorous, and dignified, but in the highest degree successful.
The complicated questions which arose in Venezuela were set-
tled in such a way by President Roosevelt, that the Monroe doc-
trine was signally vindicated and the cause of peace and arbitra-
tion greatly advanced.
His prompt and vigorous action in Panama, which we com-
mend in the highest terms, not only secured to us the canal route,
but avoided foreign complications which might have been of a
very serious character.
He has continued the policy of President McKinley in the Orient,
and our position in China, signalized by our recent commercial
treaty with that empire, has never been so high.
He secured the tribunal by which the vexed and perilous ques-
tion of the Alaskan boundary was finally settled.
Whenever crimes against humanity have been perpetrated which
have shocked our people, his protest has been made, and our good
offices have been tendered, but always with due regard to inter-
national obligations.
Under his guidance we find ourselves at peace with all the world,
and never were we more respected or our wishes more regarded
by foreign nations.
Pre-eminently successful in regard to our foreign relations, he
has been equally fortunate in dealing with domestic questions.
The country has known that the public credit and the national
currency were absolutely safe in the hands of his administration.
In the enforcement of the laws he has shown not only courage,
but the wisdom which understands that to permit laws to be violated
or disregarded opens the door to anarchy, while the just enforce-
ment of the law is the soundest conservatism. He has held firmly
to the fundamental American doctrine that all men must obey
the law; that there must be no distinction between rich and poor,
between strong and weak, but that justice and equal protection
under the law must be secured to every citizen without regard
to race, creed, or condition.
His administration has been throughout vigorous and honor-
able, high-minded and patriotic. We commend it without reserva-
tion to the considerate judgment of the American people.
NOTIFICATION ADDRESS OF HON. CHAMP CLARK, OF
MISSOURI, DELIVERED AT ESOPUS, AUG. 10TH, 1904.
Judge Parker: The most momentous political performance
known among men is the quadrennial election of an American
President. The supreme executive power of 80,000,000 free peo-
ple changes hands with simplest ceremony and most perfect or-
der. While the contest for votes is waged with earnestness and
enthusiasm — sometimes with much heat and with much bitterness
— the ready acceptance of the result by the defeated is the surest
augury of the perpetuity of our institutions.
Presidents come and Presidents go; but the great Republic —
freighted writh the hopes of the human race for liberty — goes
on forever.
All history proves that a Government bottomed on popular suf-
frage is a Government by party. Experience shows that he serves
his party best who serves his country best. The names most fondly
cherished are those of men who unselfishly devoted their time, their
energies, their talents, their fortunes and their lives to the pro-
motion of the public weal. Stronger incentive to high and pa-
triotic endeavor no man hath than to stand through all the ages
in that goodly company.
Out of the strong debates and profound deliberation of the St.
Louis convention emerged a reunited party, which goes forth con-
quering and to conquer. The flower of the Democracy assem-
bled there to consult on the state of the country and to take meas-
ures for restoring the Government to the principles enunciated
by the Fathers, from which it has drifted far in these latter days.
AN UNTRAMMELLED CONVENTION.
Every phase of Democratic opinion was represented and advo-
cated by brave, honest and able champions in that great conclave
of free and patriotic men. The St. Louis Convention carried out
no cut-and-dried programme; its delegates were not mere autom-
atons or marionettes moving and talking when strings were pulled
by one man. Speech and action were absolutely free and the great
debates which took place there will constitute part of the per-
manent political literature of the country. No effort was made
to gag or bridle any one. If a delegate had a pet idea which
lie wished to exploit he was given an adequate and respectful hear-
ing before either the platform committee or the entire conven-
tion. Every man had his say. To none was opportunity denied.
Out of it all there grew such unity as encourages lovers of liberty
and of pure government everywhere.
Notification Address of Hon. Champ Clark. 31
To serve the whole American people without discrimination,
faithfully and well ; to distribute the benefits of the Federal Gov-
ernment impartially to all our citizens; to lighten the burdens
of Government by reducing taxation to the minimum and by rigid
economy in the public service; to administer the powers conferred
by the Constitution justly, wisely, fearlessly, vigorously and pa-
triotically without diminution or usurpation; to maintain free-
dom of thought, freedom of speech and freedom of the press;
to promote the sacred cause of human freedom everywhere by the
wholesomeness of our example; to vindicate and glorify the the-
ory and the practice of representative government; to secure its
blessings to our posterity for all time — these always have been,
.are, and forever must be the aims and purposes of Democrats.
These aims and purposes of the Democracy have been carefully,
clearly and comprehensively set forth in the declaration of prin-
ciples which was unanimously reported to the St, Louis Conven-
tion in July last by the platform committee after more than sixteen
hours spent in its consideration, in which every great live issue
is frankly, boldly and fully discussed, and which was unanimously
and enthusiastically adopted by the convention, composed of del-
egates from every constituency under our flag.
There was a splendid array of Presidential candidates before
the St. Louis convention, supported by loyal friends and ardent
admirers. An unusually large number of men were placed in
nomination for the greatly coveted honor.
THE CONVENTION'S CHOICE.
You were chosen with such enthusiasm as foretells success.
Having, on the only ballot, received the two-thirds majority in-
dispensable by Democratic usage, your nomination was made unan-
imous with the heartiest approval of all your illustrious compet-
itors. "Absolute acquiescence in the decisions of the majority,
the vital principle of republics/' has ever been a cardinal tenet
of Democracy, and the signs of the times indicate that you will
be supported at the polls by the Democratic host with the same una-
nimity with which you were nominated.
The hope is not too extravagant for entertainment that in this
campaign our candidates will have the support not only of every
Democrat in the land, but also of every voter by whatever political
name called who believes that the Constitution of the United States
is a living reality, and that it is binding equally on high and low,
great and small, public official and private citizen. They will
also be supported, let us hope, by all men, without regard to po-
litical affiliations, who favor maintaining the lines of demarca-
tion between the Legislative, Judicial and Executive departments
of the Government, the separation of which has been generally
conceded to be the wisest, most salutary and most dif-
ficult achievement of the masterful statesmen who framed
the Constitution. It is believed and hoped that, when
President, you will use every legitimate influence at your com-
32 Notification Address of Hon. Champ Clark.
mand to restore and preserve the just and healthful equilibrium
among the departments established by the Constitution.
The most marked characteristics of the bulk of the American
people are reverence for the Constitution and obedience to law.
Your long and conspicuous career as a jurist in one of the high-
est courts in the world — the period which you have spent in ex-
pounding constitutions and statutes — causes your countrymen to
believe that into that more exalted position to which they are about
to call you, you will carry with you that profound respect for the
Constitution and the law which with you has become a confirmed
mental habit, and upon which depends the perpetuity of our sys-
tem of government — the best ever devised by the wit of man —
a system whose beneficent results have made us the most puissant
nation on the whole face of the earth.
THE PARTY'S STANDARD BEARER.
Into your hands the great historic party of constitutional gov-
ernment has committed its standard with abiding faith in your
courage, your integrity, your honor, your capacity, and your pa-
triotism, believing that under your leadership we will achieve a
signal victory ; hoping that your administration will be such a for-
tunate, such a happy epoch in our annals as to mark the begin-
ning of a long era of Democratic ascendency and that you will
so discharge the duties of your high office as to rank in history
with the greatest and 'best beloved of American Presidents.
The convention, according to Democratic custom, appointed a
committee of which it did me the honor to make me chairman —
for which I am deeply grateful — to convey to you official informa-
tion of your selection as the Democratic nominee for President
of the United States.
Speaking for the committee, with pleasure I hand you this
formal notification of your nomination, together with a copy of
the platform unanimously adopted by the convention. In its
name and by its authority I have the honor to request you
to accept the nomination unanimously bestowed.
May the nomination find fruition in election! May the God
of our fathers guide, protect and bless you, both as a candidate
and as Chief Magistrate of the Eepublic !
ADDRESS OF ACCEPTANCE OF ALTON BROOKS PARKER,
AT ESOPUS, NEW YORK, AUGUST 10, 1904.
Mr. Chairman and Gentlemen of the Committee:
I have resigned the office of Chief Judge of the Court of Ap-
peals of this State in order that I may accept the responsibility
that the great convention you represent has put upon me, without
possible prejudice to the court to which I had the honor to belong,
or to the eminent members of the judiciary of this State, of whom
I may now say as a private citizen I am justly proud.
At the very threshold of this response and before dealing with
other subjects, I must, in justice to myself and to relieve my sense
of gratitude, express my profound appreciation of the confidence
reposed in me by the convention. After nominating me and sub-
sequently receiving a communication declaring that I regarded
the gold standard as firmly and irrevocably established, a matter
concerning which I felt it incumbent upon me to make known my
attitude so that hereafter no man could justly say that his sup-
port had been secured through indirection or mistake, the con-
vention reiterated its determination that I should be the standard-
bearer of the party in the present contest. This mark of trust and
confidence I shall ever esteem as the highest honor that could be
conferred upon me — an honor that, whatever may be the fate of the
campaign, the future can in no degree lessen or impair.
THE PRINCIPLES OF THOMAS JEFFERSON.
The admirable platform upon which the party appeals to the
country for its confidence and support clearly states the principles
which were so well condensed in the first inaugural address of
President Jefferson, and points out with force and directness the
course to be pursued through their proper application in order to
insure needed reforms in both the legislative and administrative
departments of the government. While unhesitating in its prom-
ise to correct abuses and to right wrongs wherever they appear or
however caused; to investigate the several administrative depart-
ments of the government, the conduct of whose officials has created
scandals, and to punish those who have been guilty of a breach of
their trust; to oppose the granting of special privileges by which
the few may profit at the expense of the many ; to practise economy
in the expenditure of the moneys of the people, and to that end
to return once more to the methods of the founders of the republic
by observing in disbursing the public funds the care and caution
a prudent individual observes with respect to his own; still the
spirit of the platform assures conservative, instead of rash ac-
tion ; the protection of the innocent, as well as the punishment
of the guilty; the encouragement of industry, economy and thrift;
34 Address of Acceptance of Alton Brooks Parker.
the protection of property and a guarantee of the enforcement
for the benefit of all of man's inalienable rights, among which,
as said in the Declaration of Independence, are "life, liberty and
the pursuit of happiness." Liberty, as understood in this country,
means not only the right of freedom from actual servitude, im-
prisonment or restraint, but the right of one to use his faculties
in all lawful ways, to live and work where he will and to pursue
any lawful trade or business. These essential rights of life,
liberty and property are not only guaranteed to the citizen by
the Constitution of each of the several States, but the States are
by the Fourteenth Amendment to the Constitution of the United
States forbidden to deprive any person of any one of them without
due process of law.
GOVERNMENT BY CONSTITUTION.
Occasionally, by reason of unnecessary or impatient agitation
for reforms, or because the limitations placed upon the depart-
ments of government by the Constitution are disregarded by offi-
cials desiring to accomplish that which to them seems good,
whether the power exists in them or not, it becomes desirable to
call attention to the fact that the people, in whom all power re-
sides, have seen fit, through the medium of the Constitution, to
limit the governmental powers conferred and to say to departments
created by it : "Thus far shalt thou go and no farther." To secure
the ends sought the people have by the Constitution separated
and distributed among the three departments of government — the
executive, legislative and judicial — certain powers, and it is the
duty of those administering each department so to act as to pre-
serve, rather than to destroy, the potency of the co-ordinate
branches of the government, and thus secure the exercise of all the
powers conferred by the people.
Thomas Jefferson, in a letter to William C. Jarvis, touching
the perpetuity of our institutions, written many years after he
had retired to private life, said : "If the three powers of our govern-
ment maintain their mutual independence of each other, it may
last long, but not so if either can assume the authority of the
other." It must be confessed that in the course of our history
executives have employed powers not belonging to them; statutes
have been passed that were expressly forbidden by the Constitution
and statutes have been set aside as unconstitutional when it was
difficult to point out the provision said to be offended against in
their enactment; all this has been done with a good purpose, no
doubt, but in disregard, nevertheless, of the fact that ours is a
government of laws, not of men, deriving its "just powers from the
consent of the governed." If we would have our government
continue during the ages to come, for the benefit of those who shall
succeed us, we must ever be on our guard against the danger of
usurpation of that authority which' resides in the whole people,
whether the usurpation be by officials representing one of the
Address of Acceptance of Alton Brooks Parker. 35
three great departments of government, or by a body of men act-
ing without a commission from the people.
Impatience of the restraints of law, as well as of its delays, is
becoming more and more manifest from day to day. Within the
past few years many instances have been brought to our attention,
where in different parts of our beloved country supposed criminals
have been seized and punished by a mob, notwithstanding the fact
that the Constitution of each State guarantees to every person
within its jurisdiction that his life, his liberty or his property shall
not be taken from him without due process of law.
In a struggle between employers and employees, dynamite is
said to have been used by the latter, resulting in the loss of life
and the destruction of property. The perpetrators of this offence
against the laws of God and man, and all others engaged in the
conspiracy with them, should, after due trial and conviction, have
had meted out to them the most rigorous punishment known to
the law. This crime, added perhaps to others, led to the forma-
tion of a committee of citizens that, with the support of the mili-
tary authority, deports from the State, without trial, persons sus-
pected of belonging to the organization of which the perpetrators
of the dynamite outrages were supposed to be members. In both
cases the reign of law gave way to the reign of force. These Illus-
trations present some evidence of the failure of government to
protect the citizen and his property, which not only justified the
action of your convention in this regard, but made it its duty to
call attention to the fact that constitutional guarantees are violated
whenever any citizen is denied the right to labor, to acquire and to
enjoy property, or to reside where his interests or inclination may
determine; and the fulfillment of the assurance to rebuke and
punish all denials of these rights, whether brought about by
individuals or government agencies, should be enforced by every
official and supported by every citizen. The essence of good gov-
ernment lies in strict observance of constitutional limitations, en-
forcement of law and order and rugged opposition to all encroach-
ment upon the sovereignty of the people.
The foregoing suggestions but emphasize the distinction which
exists between our own and many other forms of government. It
has been well said, in substance, that there are but two powers in
government, one the power of the sword, sustained by the hand
that wields it, and the other the power of the law, sustained by
an enlightened public sentiment. The difference in these powers
is the difference between a republic — such as ours, based on law
and a written constitution, supported by intelligence, virtue and
patriotism — and a monarchy — sustained by force exerted by an
individual, uncontrolled by laws other than those made or sanc-
tioned by him; one represents Constitutionalism, the other Im-
perialism.
THE TARIFF.
The present tariff law is unjust in its operation, excessive in
36 Address of Acceptance of Alton Brooks Parker.
many of its rates and so framed in particular instances as to exact
inordinate profits from the people. So well understood has this
view become that many prominent members of the Eepublican
party, and at least two of its State conventions, have dared to
voice the general sentiment on that subject. That party seems,
however, to be collectively able to harmonize only upon a plank
that admits that revision may from time to time be necessary,
but it is so phrased that it is expected to be satisfactory to those
in favor of an increase of duty, to those who favor a reduction
thereof, and to those opposed to any change whatever.
Judged by the record of performance, rather than that of prom-
ise, on the part of that party in the past, it would seem as if the
outcome, in the event of its success, would be to gratify the latter
class. With absolute control of both the legislative and executive
departments of the government since March 4, 1897, there has been
neither reduction nor an attempt at reduction in tariff duties.
It is not unreasonable to assume, in the light of that record, that
a future Congress of that party will not undertake a revision of
the tariff downward in the event that it shall receive an endorse-
ment of its past course on that subject by the people. It is a fact
and should be frankly conceded that though our party be success-
ful in the coming contest we cannot hope to secure a majority in
the Senate during the next four years, and hence we shall be un-
able to secure any modification in the tariff save that to which
the Eepublican majority in the Senate may consent. While, there-
fore, we are unable to give assurances of relief to the people from
such excessive duties as burden them, it is due to them that we
state our position to be in favor of a reasonable reduction of the
tariff; that we believe it is demanded by the best interests of both
manufacturer and consumer, and that a wise and beneficent re-
vision of the tariff can be accomplished as soon as both branches
of Congress and an executive in favor of it are elected, without
creating that sense of uncertainty and instability that has on other
occasions manifested itself. This can be achieved by providing
that such a reasonable period shall intervene, between the date of
the enactment of the statute making a revision and the date of its
enforcement, as shall be deemed sufficient for the industry or busi-
ness affected by such revision to adjust itself to the changes and
new conditions imposed. So confident am I in the belief that the
demand of the people for a reform of the tariff is just, that I
indulge the hope that should a Democratic House of Representa-
tives and a Democratic executive be chosen by the people, even a
Republican Senate may heed the warning and consent to give at
least some measure of relief to the people.
THE TRUSTS.
The combinations, popularly called trusts, which aim to secure
a monoply of trade in the necessaries of life as well as in those
things that are employed upon the farm, in the factory and in
many other fields of industry, have been encouraged and stimu-
Address of Acceptance of Alton Brooks Parker. 37
lated by excessive tariff duties. These operate to furnish a sub-
stantial market in the necessities of eighty millions of people, by
practically excluding competition. With so large a market and
highly remunerative prices continuing long after the line of pos-
sible competition would naturally be reached, the temptation of
all engaged in the same business to combine so as to prevent com-
petition at home and a resulting reduction of prices, has proved
irresistible in a number of cases. All men must agree that the
net result of enacting laws that foster such inequitable conditions
is most unfortunate for the people as a whole, and it would seem
as if all ought to agree that the effective remedy would be to ap-
propriately modify the offending law. The growth of monopoly,
of which complaint is justly made, cannot be laid at the doors of
the courts of this country. The decisions of the Supreme Court
of the United States, the Court of Appeals of this State and the
courts of last resort in many other States, warrant the assertion
that the common law as developed affords a complete legal remedy
against monopolies. The fact that they have multiplied in num-
ber and increased in power has been due, not to the failure of the
courts to apply the law when properly moved by administrative
officials or private individuals, but to the failure of officials
charged with the duty of enforcing the law to take the necessary
procedure to procure the judgments of the courts in the appropri-
ate jurisdiction, coupled with the fact that the legislative depart-
ments of some of our State governments, as well as Congress, in
the manner already referred to, have, by legislation, encouraged
their propagation. What is needed — in addition to the passage of
a statute revising the tariff duties to a reasonable basis — is not so
much other and different laws, as officials having both the dis-
position and the courage to enforce existing law. While this is
my view of the scope of the common law, if it should be made to
appear that it is a mistaken one, then I favor such further legis-
lation within constitutional limitations as will give the people a
just and full measure of protection.
SELF-GOVERNMENT FOR THE PHILIPPINES.
It is difficult to understand how any citizen of the United
States, much less a descendant of Revolutionary stock, can tolerate
the thought of permanently denying the right of self-government*
to the Filipinos. Can we hope to instill into the minds of our
descendants reverence and devotion for a government by the people,
while denying ultimately that right to the inhabitants of distant
countries, whose territory we have acquired either by purchase
or by force ? Can we say to the Filipinos, "Your lives, your liberty
and your property may be taken from you without due process
of law for all time," and expect we will long glory in that feature
of Magna Charta, which has become incorporated, in substance
*In a letter published in the press Judge Parker subsequently stated
that he used the term self-government as equivalent to independence.
38 Address of Acceptance of Alton Brooks Parker.
and effect, into the Constitution of every State, as well as into the
Fourteenth Amendment of the Constitution of the United States ?
Can we hope for the respect of the civilized world, while proudly
guaranteeing to every citizen of the United States that no law
shall be made or enforced which shall abridge the privileges or im-
munities of citizens of the United States, or deny to any person
the equal protection of the laws, and at the same time not only
deny similar rights to the inhabitants of the Philippines, but take
away from them the right of trial by jury, and place their lives
and the disposition of their property in the keeping of those whom
we send to them to be their governors? We shall certainly rue
it as a nation if we make any such attempt. Viewing the question
even from the standpoint of national selfishness, there is no pros-
pect that the twenty millions of dollars expended in the purchase
of the islands and the six hundred and fifty millions said to have
been since disbursed will ever come back to us. The accident of
war brought the Philippines into our possession and we are not
at liberty to disregard the responsibility which thus came to us,
but that responsibility will be best subserved by preparing the
islanders as rapidly as possible for self-government and giving
to them the assurances that it will come as soon as they are reason-
ably prepared for it. There need be no fear that the assertion
so often made of late, that we have now become a world power,
will then be without support. Ours is a world power, and as such
it must be maintained, but I deny that it is at all recently that
the United States has attained that eminence.
THE FOUNDATION OF WORLD POWER.
Our country became a world power over a century ago, when,
having thrown off foreign domination, the people established a
free government, the source of whose authority sprung, and was
continuously to proceed, from the will of the people themselves.
It grew as a world power as its sturdy citizens, to whose natural
increase were added immigrants from the Old World seeking to
obtain here the liberty and prosperity denied them in their own
countries, spread over the face of the land, reduced the prairies
and forests to cultivation, built cities, constructed highways and
railroads, till now a nation, which at the formation of the govern-
ment numbered only three millions in population, has become
eighty millions, and from ocean to ocean and the lakes to the gulf
the country is the abode of a free and prosperous people, advanced
in the highest degree in the learning and arts of civilization. It
is the liberty, the advancement and the prosperity of its citizens,
not any career of conquest, that make the country a world power.
This condition we owe to the bounty of Providence, unfolded in
the great natural resources of the country, to the wisdom of our
fathers manifested in the form of government established by them,
to the energy, industry, moral character and law-abiding spirit
of the people themselves.
Address of Acceptance of Alton Brooks Parker. 39
MILITARISM UN-AMERICAN.
We are not a military people, bent on conquest, or engaged in
extending our domains in foreign lands, or desirous of securing
natural advantages, however great, by force; but a people loving
peace, not only for ourselves, but for all the nations of the earth.
The display of great military armaments may please the eye,
and, for the moment, excite the pride of the citizen, but it cannot
bring to the country the brains, brawn and muscle of a single im-
migrant, nor induce the investment here of a dollar of capital.
Of course such armament as may be necessary for the security of
the country and the protection of the rights of its citizens, at home
or abroad, must be maintained. Any other course would be not only
false economy, but pusillanimous. I protest, however, against the
feeling, now far too prevalent, that by reason of the commanding
position we have assumed in the world, we must take part in the dis-
putes and broils of foreign countries; and that because we have
grown great we should intervene in every important question that
arises in other parts of the world. I also protest against the erec-
tion of any such military establishment as would be required to
maintain the country in that attitude. We should confine our in-
ternational activities solely to matters in which the rights of the
country or of our citizens are directly involved. That is not a
situation of isolation, but of independence.
The government of the United States was organized solely for
the people of the United States. While it was contemplated that
this country should become a refuge for the oppressed of every
land who might be fit to discharge the duties of our citizenship,
and while we have always sympathized with the people of every
nation, in their struggles for self-government, the government was
npi^created for a career of political or civilizing evangelization in
oreign countries or among alien races. The most efficient work
we can do in uplifting the people of other countries is by the pres-
entation of a happy, prosperous, self-governing nation as an ideal
to be emulated, a model to be followed. The general occupation
of our citizens in the arts of peace, or the absence of large military
armaments, tends to impair neither patriotism nor physical cour-
age, and for the truth of this I refer the young men of to-day to
the history of the Civil War. For fifty years, with the exception
of the war with Mexico, this country had been at peace, with a
standing army most of the time of less than ten thousand men.
He who thinks that the nation had grown effeminate during that
period should read the casualty rolls of the armies on either side
at Shiloh, Antietam, Fredericksburg and Gettysburg, at Stone
River and Chickamauga. I would be the last man to pluck a single •
laurel from the crown of any one of the military heroes to whom
this country owes so much, but I insist that their most heroic
deeds proceeded infinitely more from devotion to the country than
from martial spirit.
As I have already proceeded at too great length, other questions
suggested in the platform must await my letter of acceptance.
40 Address of Acceptance of Alton Brooks Parker.
Mr. Chairman : In most graceful speech you have reminded me
of the great responsibility, as well as the great honor of the nomina-
tion bestowed upon me by the convention you represent this day.
Be assured that both are appreciated — so keenly appreciated that
I am humbled in their presence.
NO SECOND CANDIDACY.
I accept, gentlemen of the committee, the nomination, and if the
action of the convention shall be endorsed by an election by the peo-
ple, I will, God helping me, give to the discharge of the duties of
that exalted office the best service of which I am capable, and at the
end of the term retire to private life. I shall not be a candidate for
nor shall I accept a renomination. Several reasons might be ad-
vanced for this position, but the controlling one with me is that I
am fully persuaded that no incumbent of that office should ever
be placed in a situation of possible temptation to consider what the
effect of action taken by him in an administrative matter of great
importance might have upon his political fortunes. Questions of
momentous consequence to all of the people have been in the past
and will be in the future presented to the President for determina-
tion, and in approaching their consideration, as well as in weighing
the facts and the arguments bearing upon them, he should be un-
embarrassed by any possible thought of the influence his decision
may have upon anything whatever that may affect him personally.
I make this statement, not in criticism of any of our Presidents
from Washington down who have either held the office for two
terms or sought to succeed themselves; for strong arguments can
be advanced in support of the re-election of a President. It is sim-
ply my judgment that the interests of this country are now so
vast and the questions presented are frequently of such overpower-
ing magnitude to the people that it is indispensable to the main-
tenance of a befitting attitude before the people, not only that the
Chief Magistrate should be independent but that that independence
should be known to all men.
NOTIFICATION ADDRESS OF HON. JOHN SHARP WILLIAMS,
OF MISSISSIPPI, AT WHITE SULPHUR SPRINGS,
W. VA., AUGUST 17, 1904.
Mr. Davis — Sir : We have been appointed by a most notable con-
vention as a committee to notify you of your nomination by the
Democracy as their choice for Vice-President of the United States.
We desire to express the pleasure we feel in having been selected
to perform this duty, and our confidence in you, your faithfulness,
honesty and wisdom. The people see in you one of the best prod-
ucts of the best period of American institutions, a period whose
salient characteristics were local self-government, individuality,
equal opportunity and freedom — freedom to work, freedom to buy
and sell, freedom to compete in industrial life, resulting in self-
dependence, freedom to develop as one's own master — and not
merely as the well trained and well managed industrial servant of
another. They see in you what Oliver Wendell Holmes said is a
rare thing, "a self-made man who is yet not proud of his maker."
In a certain way the notification with which we are charged is
perfunctory and unnecessary, and yet it is well to maintain by some
degree of formality that respectful observance which is due to great
events. The nomination by a great party to the great office to which
we call you, the Vice-Presidency, carrying with it the duty of pre-
siding over the Senate of the United States, and the possibility ot
succession to the Presidency, is a great event.
As soon as I learned that I was, by resolution of the convention,
to be the mouthpiece of the committee for the performance of this
pleasant task, I began to look about me in order to see how the duty
had been performed by others. I found from recent performances
of a similar character in the Kepublican camp that for a notification
speech an historical essay is altogether the proper thing, absolutely
necessary for the emergency. We shall therefore entitle our notifica-
tion address, "A Brief Historical Disquisition upon Some of the
Blunders of Our Ancestors, as Viewed from the Standpoint of the
Wisdom of Kepublican Statesmen Who Have Embraced the Strenu-
ous Life." * * *
BENEVOLENT ASSIMILATION.
The next great blunder in our early history consisted in their
taking up arms against King George and his forces, when the lattei
were actuated, as they themselves confessed, only by the kindest
designs of "benevolently assimilating" to themselves our resources
and our opportunities. You, sir, who have a Republican son-in-
law, and, therefore, possess culture by affinity at least, will hardly
42 Notification Address of Hon. John Sharp Williams.
believe that our ancestors were stupid enough to fight against the
principles which we so frankly recognize in the Philippines, viz.,
that it is perfectly right, self -evidently proper, for a flag to cover
and emblemize two entirely different sorts of government, one for
ourselves "at home," protecting individual, civil and political lib-
erty, and pretending to furnish full and equal opportunities for in-
dustrial development; and another for others "in the colonies" —
absolute and discretionary in its character and avvvwedly limiting
industrial development there by the necessities of commercial ex-
ploitation for the benefit of the "home" merchant and the "home"
manufacturer.
We know now, of course, that all our ancestors' talk about "in-
alienable rights" of self-government, "no taxation without repre-
sentation," habeas corpus and right of trial by jury, freedom of the
press, freedom of speech, and freedom of assembly, were only a pre-
text resorted to by ranting "insurgents" in order to throw off the
"civilizing influences" of the best government which the world had
that far witnessed. We have not been stupid enough to confine to
mere words of apology for this mistake in our history; we have
apologized by deeds of confession; it seems strange that we could,
as a people, have prospered, industrially and otherwise, as we have
prospered, so marvelously, sir, in all our history, both as colonies
and as States, in spite of the monstrous error — this unholy rebel-
lion. * * *
CUSTOM HOUSES AS PROMOTERS OF COMMERCE.
The next great historical blunder, in spite of which, strange to
say, we have, as I cannot too often repeat, prospered right along in
every step of our history, with now and then a temporary drop-
back, was the immolation by our ancestors of the nation's industrial-
ism upon the altar of free trade within the common domain, not-
withstanding . already existing State lines furnished convenient
place, opportunity and temptation to establish custom houses —
those potent encouragers of commerce. What we ought to have
fought for during colonial days was a high protective tariff to keep
British products out of the American market, and another high
protective tariff to keep American products out of the British mar-
ket; thus enriching both Britain and America. Then, after we had
accomplished our independence and each State had become a sepa-
rate sovereignty, South Carolina ought to have protected herself
against Pennsylvania and New England. Pennsylvania ought to
have seen to it that a line of custom houses prevented the invasion
of her sacred soil by the products of the Jerseyman, the Marylander
and the Delawarean. We ought to have encouraged interstate trade
by stopping it as much as possible, thus pursuing in that regard the
enlightened policy which prevails in regard to our international
trade. Then, after forming the present Union, the Constitution
itself ought to have prescribed to the States "mutual protection, by
mutual taxation, and consequent universal prosperity."
What an enormously rich country the little State of Rhode Island
Notification Address of Hon. John Sharp Williams. 43
would have been now but for the influx of the cotton raised by the
pauper labor of South Carolina and Georgia, slave labor for a long
time, and therefore worse than pauper labor! How rich Florida
would have been if, instead of raising pineapples and oranges and
such products as an unreasoning sun seems to recommend, she had
kept the rye and barley and wheat and woollen goods of the North-
ern States out of her confines and had "created," at some little ex-
pense to her people, it is true, but still, with much pride and self-
gratification, purely "Floridian industries" of these and all other
things ! Each community on the surface of the earth, sir, should
"raise everything and make everything which it possibly can," re-
gardless of the cost to its people of making and raising it, and if
they will not make and raise everything of their own accord, then
the people ought to be taxed, until somebody consents to accept the
profits of newly created industries for the altruistic purpose of giv-
ing them away to American, Polish, Hungarian, and other labor.
I have known people foolish enough to answer that if New Jersey
had "created" a great New Jersey banana industry, we will say
(because bananas could be easily raised there under glass and in
forcing beds), it would have made bananas very much more costly
than common people would like, and that perhaps it is better for
New Jersey to raise potatoes and peaches, and manufacture vari-
ous things naturally profitable, and, with the profits of capital and
labor thus prebeianly employed, buy bananas. But the men who
say that, of course, are lacking in patriotism — "a cheap banana
makes a cheap man," and we hurl foul scorn at those who are so
lacking in self-dependence as not to be willing to pay whatever is
necessary to be paid out of the pockets of consumers in order to pre-
vent the pauper banana, raised by pauper labor, grown on pauper
soil, nourished by pauper sunshine — vile foreigner, as it is — from
invading New Jersey.
I know there are a lot of old-fashioned, out-of-date people, prin-
cipally Democrats, who say that the watchword of industrial prog-
ress among communities is not isolation and independence of pro-
ductivity, but reciprocity and interdependence ; that isolation leads
to feelings of estrangement and enmity among the people ; that in-
dustrial interdependence constitutes a sort of world-effective bond
to keep the peace. I need not stop to tell you that such men are
"mere theorists." One of them might be granted plenary power
for a thousand years, and at the end of that period would not have
given any change of occupation to such capitalists and workingmen
in Maine as are, or might be made to be, desirous of raising sun-
kissed plants. The base Cobdenite would leave the workingmen of
Maine and New Jersey "unprotected," to devote their labor self-
ishly to other things, merely because the cultivation or manufacture
of these other things is naturally more profitable. * * *
THE EVOLVED TRUSTS.
That reminds me of another blunder of our ancestors, both under
the common law in Great Britain and in the United States. They
44 Notification Address of Hon. John Sharp Williams.
seem to have entertained a notion that combinations in restraint of
trade, seeking monopoly and throttling competition, are in some
way adverse to the development of individuality, and somehow
poison the life of trade. They went so far as to contend that the
highest object of man's existence is not to be well managed, even
at a living money profit to himself, but that it is to learn to manage
himself well. We know now that combinations of corporations
seeking with the power of monopoly the resultant power of robbing
consumers by raising prices to an extortionate figure, under the
shelter of tariff laws, shutting out foreign competitors, and seeking
the further resultant power to bear down the price to be paid to the
farmer raising the raw material; and seeking the yet further re-
sultant power to regulate wages, by reason of the fact that the
workingman has nowhere else to go to get work except to the con-
cerns in the combination — are, on the whole, beneficial institutions
in a free republic of self-governing men. They may appear to be
doing some harm, may appear at first blush, indeed, to be blocking
that broad opportunity for individual effort, which you enjoyed,
sir, when you advanced in a lifetime from the position of a brake-
man on a train to that of a leader of men as a railroad and indus-
trial captain, and which many a country merchant, become now a
merchant prince, also once enjoyed. These are only phenomenal,
however — mere outward seemings.
Sir, there is hope for the republic as long as it continues to move
forward in the tried ways of the Old World, divorcing itself from
outgrown American landmarks. That we are moving and divorcing
there is no doubt. Standing now in the dawn of the twentieth
century; having forbidden the reading the Declaration of Inde-
pendence in a part of the country's domain; with courts ready to
decide that the Constitution is not a written letter to be read and
obeyed, but a dancing panorama, "changing itself to suit changing
conditions;" having put our foot down, wisely and firmly, upon
freedom of speech and freedom of assembly, and freedom of the
press in Colorado, and those "appurtenant-appendages," where
freedom of speech, press and assembly might be awkward for us;
having joined the holy alliance of land grabbing nationalities;
having discovered that God's command against robbery and theft
does not apply to men in the aggregate, acting as nationalities,
when robbing communities of their independence or "benevolently
assimilating" their resources; amid all these reversals of historical
blunders of our past, I boldly aver that we need not despair of the
republic. * * *
Remember, above all things, that our chief duty as citizens, but
especially as rulers, is not to be "weaklings" or "cowards." A
weakling, sir, is a strangely domesticated animal, who listens be-
fore he acts, and who wreighs evidence before he decides, who
modestly venerates greatness — in others; who habitually prefers
"piping times and peace" to the "pomp and circumstance of glori-
ous war." Weaklings are "men who fear the strenuous life, the
only national life that is really worth the living" — the life of
Notification Address of Hon. John Sharp Williams. 45
crown-colony-eonquest, the life militant, in a word. We are getting
to be as a people — your committee is glad to say — splendidly mili-
tary. A nag, brass band, and a choice collection of epaulets,
escorting a secretary of war to and from the depot in Washington
when he augustly leaves or arrives, appeal to the higher flights
of our patriotic imagination as nothing else does or can. * * *
In real conclusion, Mr. Davis, it is a sincere pleasure indeed to
know and to be able to help to place in high position a man of
your character and sense and modesty, a man who, as the result
of a life of continence, temperance, self -containment and useful-
ness and honest industry, presents a picture, in virile, though ad-
vanced, age, of mens sana in corpore sano, which is a delight to
the eye, a satisfaction to the soul, and was taught by wise ancients
to be the summum bonum of individual earthly existence.
MR. DAVIS'S SPEECH OF ACCEPTANCE.
AT WHITE SULPHUR SPRINGS, WEST VIRGINIA, ON AUGUST 17TH.
"Mr. Chairman and Gentlemen of the Committee :
"The official notification which, you bring of my nomination
for the Vice-Presidency of the United States, by the national De-
mocracy, gives me a feeling of the sincerest gratitude to my party
for the honor conferred. At the same time it brings to me a deep
sense of my responsibility to my party as a candidate, and to my
country in case of my election.
"A spirit of determination to succeed in the campaign before
us appears to pervade the rank and file of our party in all sections
of the country. Of that rank and file I have for many years
been a member, and have at all times devoted my humble powers
to party success, believing that success to be for the country's good.
Unexpectedly called as I am now to the forefront, I am impelled
to an acceptance of the obligation by a sense of gratitude to my
fellow-workers, and the hope that I may be able the better to assist
in restoring to power that party whose principles and past history
guarantee a safe, wise, economical, and constitutional administra-
tion of the Government.
"I find it, therefore, a great pleasure, standing here upon the
borderland of the two Virginias, to receive and accept the commis-
sion you bear, and to send greetings through you to the Democracy
of the entire country. Is it not significant of a closer and truer
brotherhood among us, that for the first time since the Civil War
a nominee on the national ticket has been taken from that section
of our common country that lies south of Mason and Dixon's
line — a happy recognition of the obliteration of all sectional differ-
ences which led to and followed that unhappy struggle ?
"As introductory to the few remarks I shall make, I desire to
say that I heartily endorse the platform upon which I have been
nominated, and with the convention and its nominee for Presi-
dent regard the present monetary standard of value as irrevocably
established.
UNSATISFACTORY INDUSTRIAL CONDITIONS.
"In the campaign preceding the last election much stress was
laid by Republican speakers upon the prosperous condition of
the country, and forebodings were heard of the ill results, especially
to the laboring man, which would follow any change in the political
complexion of the Government. It is true that the times then
Mr. Davis's Speech of Acceptance. 47
were good, but it is no less a fact that, while there has been no
change in the party in power, many of the evils prophesied have
come under Eepublican rule. Four years ago factories, mills,
mines and furnaces were in active operation, unable to supply the
demand, but now many are closed, and those that are open are
being operated with reduced force on short hours. Then wages
were high, labor was scarce, and there was work for all. Now
work is scarce, many wage-earners unemployed, and wages reduced.
The apprehension which now prevails in business circles and the
present unsatisfactory industrial conditions of the country seem
to demand a political change.
"In the language of our platform, 'the rights of labor are cer-
tainly no less vested, no less sacred, and no less inalienable than
the rights of capital/ The time is opportune to emphasize the
truth of this utterance. The most sacred right of property is the
right to possess and own one's self and the labor of one's own
hands — capital itself being but stored-up labor. For years I
worked in the ranks as a wage-earner, and I know what it is to
earn my living in the sweat of my brow. I have always believed,
and my convictions came from the hard school of experience, that,
measured by the character of work he does, and the cost of living,
a man is entitled to full compensation for his services. My experi-
ence as a wage-earner and my association with labor have alike
taught me the value of Democratic principles, for in them the
humblest has the strongest security for individual right and the
highest stimulus to that independence of spirit and love of self-
help which produce the finest private characters and form the base
of the best possible government.
COMPARATIVE FINANCIAL CONDITIONS.
"The receipts of the Government for the year ending June 30,
1902, the first fiscal year of the present Administration, showed
a surplus over expenditures of $91,000,000, but for the fiscal year
ending June 30, 1904, instead of a surplus, there was a deficit
of $41,000,000. From the 1st of July, 1904, to August 10, or
for about a month and a third of the present fiscal year, the ex-
penditures of the Government have exceeded the receipts by $21,-
715,000. There could be no stronger evidence of the extravagance
into which the Eepublican party has fallen, and no more potent
argument in behalf of a change to the party whose tenets have
always embraced prudence and economy in administering the peo-
ple's affairs.
"Our Eepublican friends are prone to refer to the great com-
mercial growth of the country under their rule, and yet the census
reports show that from 1850 to 1860, under Democratic rule and
the Walker tariff, the percentage of increase was greater in popula-
tion, wealth, manufactures and railroad mileage, the factors which
affect most largely the prosperity of the country, than in any decade
since.
"The cost of government has largely increased under Eepubli-
48 Mr. Davis's Speech of Acceptance.
can rule. The expenditures per capita for the last years respec-
tively of the Administrations given, taken from the reports of the
secretary of the treasury, were as follows:
In 1860 under Buchanan $2 01
In 1890 under Harrison 5 77
In 1897 under Cleveland 5 10
In 1901 under McKinley 6 56
In 1904 under Roosevelt 7 10
"The Republicans now claim great consistency in their attitude
upon the currency question, and the President in his recent speech
of acceptance said that they know what they mean when they speak
of a stable currency, 'the 'same thing from year to year/ and yet
in the platforms of their party in 1884, 1888 and 1892, they fa-
vored the double standard of value. In the platform of 1888 they
said, 'The Republican party is in favor of the use of both gold
and silver as money, and condemns the policy of the Democratic-
Administration in its efforts to demonetize silver/
PRAISE OF JUDGE PARKER.
"I congratulate your committee, and the constituency it repre-
sents, on the selection by the delegates to the National Convention
of the nominee for the Presidency. He is a man of courage, yet
prudent; of high ideals, yet without pretence; of the most whole-
some respect for the Constitution and the majesty of the laws
under it, and a sacred regard for their limitations; of the keenest
sense of justice, which would rebel against compounding a wrong
to an individual or to a nation; positive in conviction, yet of few
words; strong in mental and moral attributes, and yet withal
modest and reserved; possessed of a sturdy constitution and mag-
nificent manhood, and yet temperate in his actions and dignified
in his demeanor. It is not the orator or man of letters, but the
man of reserve force, of sound judgment, of conservative method
and steadiness of purpose, whom the people have called to the
office of the Presidency; notably in the contests between Jefferson
and Burr, Jackson and Clay, Lincoln and Douglas, Grant and
Greeley, Cleveland and Blaine.
"Dire predictions were made by our political opponents of what
would happen at the St. Louis Convention, but they misjudged
the temper of the party, and the people. While there had been
differences in preceding campaigns, yet at St. Louis they were all
harmonized and a common ground was found upon which all could
stand and do battle for Democratic principles. A platform was
adopted by a unanimous vote, embracing the issues of the day,
and presenting to the people a declaration of principles which, in
the language of the times, is sane, safe and sound.
"With a candidate whose personality appeals to the good sense
and sound judgment of the American people, a platform whose
principles are for the greatest good to the greatest number, and a
reunited party, earnest for the restoration of good and economical
Mr. Davis's Speech of Acceptance. 49
government, we should succeed, and the principles of Democracy
again triumph.
"1 beg my countrymen, as they value their liberty, to guard with
great care the sacred right of local self-government, and to watch
with a jealous eye the tendency of the times to centralize power
in the hands of the few.
"Mr. Chairman, it is an added pleasure to receive this notifica-
tion at your hands. You have been conservative and courageous
as the leader of our party in the House of Representatives, a posi-
tion which few men have filled with the signal ability that you
have displayed.
"It will be my pleasure and duty at a time not far hence to ac-
cept more formally in writing the notification which you have
extended in such graceful and complimentary terms, and to give
my views upon some of the important questions commanding the
attention of the country."
COMMENT ON JUDGE PARKER'S SPEECH OF
ACCEPTANCE.
(From "The Nation," August 18, 1904.)
Ever since Judge Parker's telegram declaring that the Presi-
dency must come to him right or he would not have it, his greatest
peril has been that of an anti-climax. Could he hold the ear of
the country which he had so instantaneously gained? Or would
his act of bold initiative be followed by timidities of speech? His
highly dramatic first appearance on the national stage made it
the harder, yet the more necessary, to fix the eye of the spectators
when he stepped forth a second time. But all doubts of his ability
fittingly to follow up his great stroke are solved by his speech of
acceptance. It is the utterance of a man who does his own think-
ing, who has something to say, and who says it with the utmost
frankness. The country will pronounce him a man worth listen-
ing to, and will gladly hear him further.
His speech is long, but not rambling, and a single conception
runs through and vitalizes the whole. It is the old American con-
ception of liberty under law. Not for nothing has this man been
giving his mind to the study and exposition of jurisprudence.
From it he has drawn that doctrine of American government which
never was so much in need of being proclaimed and enforced as
to-day, and which he expounds and illustrates so powerfully — the
doctrine, namely, of a free people decreeing orderly liberty by law,
and determining the authority while limiting the powers of those
set to execute the law. Judge Parker applies it with vigor and
pungency. He shows how it cuts both ways, striking alike at
grasping oppression and mob violence, protecting the working-
man against arbitrary deportation at the same time that it inhibits
his interference with "the right to labor" which others enjoy.
The growing impatience of the restraints of law has alarmed
Americans who stop to think, and Judge Parker puts his finger
surely upon that ailing spot. He names no names. He does not
say who those executives are that have rashly done what seemed
to them good, law or no law. His attitude is that of Chapman,
who characterized an offender without naming him, and added:
"I have stricken ; single him as you can."
This same idea of law as at once bulwark and weapon, guaran-
tee and remedy, Judge Parker carries into his discussion of Trusts
and the tariff. He has no nostrum to offer. None of the conven-
tional candidate's promise of a millennium after his election fall
trippingly from his tongue. He calls simply for the enforcement
of the laws we have before flying to others that we know not of.
Comment on Judge Parker's Speech of Acceptance. 51
To him no way of orderly government is conceivable except due
process of law. The absolutely honest way in which Judge Parker's
mind works is shown by his words about the tariff. He will not
promise what he knows his party cannot perform. Emphasizing
the existence of gross tariff injustices, he frankly admits that the
Senate will remain for a time an insuperable barrier to sweeping
revision, and says that the best a Democratic House and Execu-
tive could do would be to dash at the doors of the Senate with bills
repealing the more flagrant tariff schedules, in the hope that an
aroused public opinion would compel even that fortress of
monopoly to surrender. This may be an humble tariff programme,
but it honestly faces the facts as they are.
The money question is treated most happily. Judge Parker re-
affirms his own declaration for the irrevocable gold- standard, but
does it incidentally as a part of his acknowledgment of the honor
done him in nominating him with his convictions upon that sub-
ject known. That is all, but that is enough. Why linger upon
dead issues? The silver question is defunct. Let us turn to sub-
jects in which the people take a live interest.
It is a noble passage of the speech which shows how un-Ameri- «
can is the tawdry militarism which the Republican party has of
late been flaunting. And in speaking up so emphatically as he
does in behalf of Philippine independence, Judge Parker shows
how precious to him are American traditions. It is the casting
away of our ideals, the stretching of our Constitution to the break-
ing-point, the abhorrent thought of a free people having subject
peoples, which are to Judge Parker the grievous things in our Phil-
ippine delusion. The ring of indignation in his voice as he speaks
of that wandering away from the true path is unmistakably honest.
We happen to know that he was warned by some timid Democrats
against putting such plain-spoken words in his speech, but he
merely said : "Make votes or lose votes, those are my honest views,
and I shall state them."
Sincerity and elevation of mind appear unmistakably in Judge
Parker's explicit declaration of intention to serve but one term, if
elected. Much may be said for or against making a President in-
eligible for a second term, but nothing can be said against the rea-
sons which Judge Parker gives for his own decision. He wishes
to be above suspicion. To him, any attitude but the judicial is
intolerable. That he should ever be approached as President with
the argument that the course he thought right would lose delegates,
is a prospect which he will not contemplate for a mo-
ment. Consequently, he takes his clear stand. If he is
chosen President, we shall not witness an Executive feverishly
working night and day to perfect the machine for a renomination.
There will be many cheap jests about Judge Parker's putting aside
what may never be his, but nothing of that kind can obscure the
simple dignity of his announcement that, if his fellow-citizens elect
him President, he will devote himself for four years entirely to
their affairs.
52 Comment on Judge Parker's Speech of Acceptance.
Not that Judge Parker placed himself in a holier-than-thou po-
sition as regards his competitor. He was quick to say that he made
no criticism of any President who had served two terms or sought
to do so. Yet the very reasons that he gave for reaching this con-
clusion— which so astonished the professional politicians — have
made thoughtful men run over in their minds the actions of Presi-
dent Roosevelt within the last year or year and a half. Why the
rapprochement with Addicks? Why the readiness to sign the fa-
mous pension order merely to save Congress the trouble of legis-
lating? Why the installation of Senator Quay's notorious son in
the Naval Office in Philadelphia? And, since the nomination, why
the reconciliation with "Lou" Payn and the appointment of Gov.
OdelFs white-haired civilian neighbor to a majority in the regular
army over the heads of hundreds of officers of long and faithful
service? Do these and many similar acts bespeak the President
who is, in Judge Parker's words, "unembarrassed by an}' possible
thought of the influence his decision may have upon anything what-
ever that may affect him personally" ?
The speech at Esopus makes it plain to all that Judge Parker
was the right candidate with whom to oppose President Roosevelt.
The two men stand for antithetic ideals, and it is for the nation to
make its choice between them. It is Constitutionalism versus Im-
perialism. It is law against impulse. It is the man of calm and
poise and judicial habit against the impetuous meddler who leaps
first and asks afterwards what the law is, who violates a treaty and
thinks it defence enough if he says his own "sense of honor" was
satisfied. If Americans have got tired of all the fret and sham
of militarism and the meretricious glitter of Imperialism, they will
turn with relief to Judge Parker. But, whether they do or not,
he has shown himself a man worthy of their confidence and their
suffrages, and has already wrought a great work for his country
by pointing it to the things which make for peace and true
grandeur.
BIOGRAPHICAL SKETCHES OF THE CANDIDATES
ALTON BROOKS PARKER.
WRITTEN BY CHARLES J. HAILES, AND REPRODUCED BY PERMISSION
FROM "ALBANY LAW JOURNAL," MAY, 1904-
Alton Brooks Parker may well be called New York's favorite
son. He has been highly honored on many occasions by his fel-
low suffragists. Never has he known the bitterness of defeat. The
crowning honor of his career thus far has been his elevation to
the chief judgeship of the Court of Appeals, the highest local
tribunal in the Empire State, a position for which he is ideally
fitted by temperament, training and education. Frequent and en-
ticing have been the opportunities presented to him for entry into
political life, but they have always been refused. He early deter-
mined not to be turned aside from his chosen profession, the law.
Even since he has donned the ermine, men prominent in party
councils have advised, and portions of the press have suggested,
his candidacy for high official positions, but he has steadily declined.
Nothing less than a call to the highest office within the gift of the
nation could tempt Judge Parker to forsake his life work on the
bench.
Judge Parker's career is a strong incentive to every lawyer
who has an honorable ambition to rise in his profession. His
splendid success has been wholly due to his own efforts. Favored
by no special advantages in early life, but possessing health,
strength, untiring industry and an honorable ambition, he made
his own way, paid for his own schooling by teaching, and after
adopting the law as a profession did not shrink from the toil which
he knew to be absolutely necessary in order to reach eminence in
it. All his life Judge Parker has been a prodigious worker.
Though now fifty-two years of age, his whole appearance is that of
a strong man still in his prime.
Scarcely a- tell-tale wrinkle is to be seen in his genial, kindly
face. Though his appearance to the superficial observer is that of
a man who has taken life easily, the fact is that few men work
harder or more systematically. If the marks of his toil have not
been left on his countenance or in his frame, the explanation is to be
found in his abstemious mode of living and the care he has taken
to keep his physical vigor unimpaired. Perfect health and wise
systematization enable him to dispose of an amount of work which
otherwise would be impossible. Since he became chief judge of
the Court of Appeals that tribunal has shown an ability to dispone
54 Biographical Sketches of the Candidates.
of a much larger number of cases than ever before in its history.
The reason is to be found in the unwearying efforts of the chief
judge, supplemented by the loyal and hearty co-operation of his
colleagues.
A PEN PORTRAIT.
Nearly six feet in stature, straight as an arrow, broad-shouldered,
wiry, athletic, Judge Parker is in the prime and vigor of life, a
splendid specimen of American manhood. His face is singularly
attractive, a smile continually playing about his symmetrical
features. His eyes are keen but kindly, his mouth firm set, showing
determination. Although a great student, there is not the slightest
suggestion of the bookworm about him. Courtly in manner and
always well dressed, though never conspicuously so, he is not par-
ticularly judicial in appearance, but would rather be taken by
those not acquainted with him for a prosperous business man or
a bank president. In manner he is most democratic. Born in the
country, he has never lost his love for rural life, and when the
pressure of his duties does not require his presence in Albany he
lives at Esopus-on-the-Hudson, near Kingston, where he has a
beautiful country home which has borne the name of Rosemount
for half a century.
EARLY STRUGGLE FOR SUCCESS.
Alton Brooks Parker was born at Cortland, N. Y., May 14,
1852, and is the son of John Brooks Parker and Harriet F. Strat-
ton. His ancestors for several generations were residents of Mas-
sachusetts, his great-grandfather, John Parker, having served for
three years in the War of the Revolution. His grandfather, John
Parker, in 1794, married Elizabeth Brooks, of Worcester, Mass.,
from whom the surname of the subject of this sketch is derived.
The early education of Mr. Parker was obtained in the academy
and normal school at Cortland, where his family resided. At the
age of sixteen he commenced teaching in order to obtain money to
enable him to continue at school, after which he adopted the law
as a profession. His ambition to become a lawyer was early formed
and came about in an interesting way. His father was summoned
for jury service in a case which was to be tried at Cortland. He
brought young Alton to court with him. The case was one of some
importance, and one of the parties to it had employed the services
of a Syracuse lawyer of some distinction as a pleader. This law-
yer's address made such an impression upon young Parker that
when he and his father were driving back to the farm he informed
his parent that he intended to become a lawyer when he grew up.
Once having formed that purpose, he began to bend all his ener-
gies toward its accomplishment. But it was by no means all plain
sailing. His family was not in affluent circumstances, and it be-
came necessary for him, besides working on the farm during the
summer, to obtain other employment in order to enable him to
attend the academy and normal school as well as the law school.
This he did not hesitate to do; any honorable employment was
Biographical Sketches of the Candidates. 55
eagerly sought. The winter after he was sixteen he started out
to secure his first employment as a teacher. After a thirteen-mile
drive and numerous disappointments, he was engaged by the trus-
tees of a Virgil township school. Meanwhile his father was "keep-
ing an eye* open" in his son's interest, and at the same time that
the young man was on his quest of employment the father had suc-
ceeded in securing him an opportunity for an engagement, which
from a pecuniary standpoint, was more attractive than that which
the young man had concluded for himself. When young Parker
returned home that night and related, with some pride, the re-
sult of his quest, his father, instead of sharing his elation, expressed
regret, explaining that he had secured for him the promise of a
much better place than that at Virgil. Bather crestfallen, he pro-
posed that he return to Virgil the next morning and ask to be re-
lieved from the engagement. "No," replied his father, "you
have made it and you must keep it. I have observed that when a
young man once fails in that way he is pretty apt to fail all
through his life." Later he entered the normal school, and the
following winter taught a school in the neighborhood of Bingham-
ton. The next winter Prof. J. H. Hoose, the principal of the
Cortland Normal School, received an application from a school
in Accord, Ulster County, for a principal of a school, with wages
at three dollars a day, and he asked young Parker to take it. He
was only too glad of the opportunity, and after teaching about
seven months he entered the office of Schoonmaker & Harden-
burgh, as a law student, through the favor of Augustus Schoon-
maker, then a prominent practitioner at the bar at Kingston, who
took a decided fancy to young Parker. Thence he went to the
Albany Law School, from which, after graduation, he returned to
the office of Augustus Schoonmaker (Hardenburgh having died
in the meantime), who made him his managing clerk, on a salary.
FIRST ENTRANCE INTO POLITICS.
After some months Mr. Parker formed a partnership with W. S.
Kenyon, Jr., which continued until 1878. Soon after entering
Mr. Schoonmaker's office, the latter, who was then serving his
second term as county judge, was defeated for re-election after
a hard campaign, and was so disheartened that he decided to with-
draw altogether from politics. Believing that his patron was un-
duly discouraged, and that he was still very strong with the peo-
ple, young Parker arranged for Mr. Schoonmaker's nomination
for State senator in 1875, and prevailed upon him to accept. The
young lawyer and politician so well managed the campaign that
Mr. Schoonmaker was elected by a large majority, and his prestige
in politics fully restored, for he was, in 1877, elected attorney gen-
eral, renominated in 1879, nominated for judge of the Court of
Appeals in 1880, and subsequently appointed interstate commerce
commissioner by President Cleveland.
Parker's success in Ulster County politics thus brought him into
prominence, and in 1877 he was nominated for surrogate. He
56 Biographical Sketches of the Candidates
was the only Democrat on the county ticket who was elected that
year. He was then but twenty-five years of age. Parker's popu-
larity with the voters was still more strikingly shown in 1883 when,
after having served six years as surrogate, he was re-elected to the
office by a majority of 1,400 in a total vote of 15,000,* against a
competitor — Judge William Lawton — whose popularity as county
judge had carried the county twice successively by large majorities,
and again he was the only candidate on the Democratic ticket who
was elected. When he had served two years of his second term,
David B. Hill, the Democratic candidate for governor, who had
watched the young lawyer's successful political work in Ulster
County with much interest, reached the conclusion that Parker
was the man he wranted to manage his State campaign, and Parker
was elected to the Democratic State committee and made
its chairman. Largely owing to Parker's masterful work
the entire Democratic State ticket was elected by pluralities rang-
ing between 11,000 and 12,000. During the time he held the po-
sition of surrogate, Parker carried on a large general law practice
and was actively at work in the trial of causes and the argument of
appeals. In 1883 he declined to consider Daniel Manning's sug-
gestion that he accept the nomination for secretary of state, and
again in 1885 he declined to consider the nomination for the office
of lieutenant-governor proposed at a session of State party lead-
ers, giving as his reason that he did not wish to abandon his
chosen field — that of the law. President Cleveland, in 1885, ten-
dered him the office of first assistant postmaster-general, but this
he also declined, for the same reason. When Theodore "R. West-
brook died, leaving the Supreme Court justiceship for the Third
Judicial District vacant, Governor Hill appointed Parker to the
vacancy. He entered at once on the duties of his office of the
current year, at the close of which he received the unanimous nomi-
nation of the Democratic party for justice for the full term,
a nomination which the Republicans did not oppose. This wras a
compliment never before or since paid to a candidate for that po-
sition in the Third Judicial District. Judge Parker was then but
thirty-four years of age. While thus serving as a Justice of the
Supreme Court, he refused to consider the suggestion made by
prominent men in the party that he be a candidate for gov-
ernor in 1891. He was urged to be a candidate for TJnited
States senator while a member of the Second Division of the
Court of Appeals, but would not consent. In January, 1889, the
Second Division of the Court of Appeals was created for the pur-
pose of clearing the congested calendar, and Judge Parker was ap-
pointed to it, being the youngest man that ever sat in the Court of
Appeals of New York. This position he retained until the disso-
lution of the court in 1892. In consequence of a request made in
that year by members of the judiciary of New York city, Governor
Flower appointed Justices Follett and Parker as members of the
General Term of the First Department, in which important and
arduous judicial position Judge Parker continued to labor until
Biographical Sketches of the Candidates. 57
the creation of the Appellate Division, when he resumed the duties
of the trial terms in his own district. When Mr. Justice Barrett
became ill, Judge Parker was designated by Governor Black to
take his place temporarily on the Appellate Division in New York
city. As already stated, before his elevation to the bench, Judge
Parker took an active part in politics, receiving many marks of
the favor with which his party regarded his influence and his effi-
cient service, being elected a delegate to every State convention,
and to the national convention of 1884, which nominated Mr.
Cleveland, whom he actively supported.
ELECTION TO THE COURT OF APPEALS.
Judge Parker was thirty-three years of age when he became a
Justice of the Supreme Court. In 1897, when he was in his forty-
sixth year, he received the nomination of his party for the office
of Chief Judge of the Court of Appeals. In 1896 the Republican
majority in the State was 212,000; two years before the Demo-
cratic State ticket had been defeated by more than 150,000. At
such a time Judge Parker accepted the nomination of his party, a
nomination which many of the shrewdest politicians of both par-
ties agreed was probably an empty honor. He was elected by a
plurality exceeding 60,000.
AS A JURIST.
Judges nowadays, more than ever before, are expected to eschew
rhetoric and to repress any imaginative tendency in the writing of
their opinions. They are, perhaps properly, held strictly to argu-
ments and reasons. At the same time, it is inevitable that a vigor-
ous personality like that of Judge Parker's should find expression.
His opinions are noted for their forceful diction, comprehensive
grasp of the fundamental questions involved, unsparing labor in
citing precedents, close reasoning, and their tendency to disregard
mere technicalities. Following his life-long habit, Judge Parker
has, since his elevation to the highest court in the State, insisted
upon giving every case coming before him original investigation.
He never relies upon the labors of the lawyers, but goes to the
books and searches cases and precedents for himself. Any one
who takes pains to study the records will find that the chief judge
has been a positive force in the direction of wise conservatism. He
is a strict rather than a liberal constructionist of the Constitution.
He has set his face firmly against the crying evil of judicial legis-
lation. He has insisted that private litigants shall be held strictly
to the letter of their contracts. He firmly believes that, however
serious are the evils of vicious legislation, the proper remedy is
not to be found in the judiciary ; hence he has consistently adhered
to what he believes to be the court's duties of construction and in-
terpretation, and has resolutely refused to interfere with the proper
powers of the legislature. This attitude is well illustrated in
People ex rel. Rodgers v. Coler (166 N". Y. 1, 9), in which the
court passed upon the constitutionality of the so-called prevailing
rate of wages law which was passed by the legislature of 1897.
58 Biographical Sketches of the Candidates.
This law provided that workmen and mechanics on all public works
should receive not less than the prevailing rate of wages, and that
every contract thereafter made for public work should contain a
clause binding the contractors to pay the prevailing rate of wages.
This law was declared unconstitutional by a vote of five to two.
Judge Parker was one of the dissentients and read a vigorous opin-
ion, in which he pointed out that whether the statute was uncon-
stitutional or not, there was nothing to prevent a contractor from
incorporating the phraseology of the statute into the contract. In
the dressed stone law, which required dressed stone for public
buildings in New York city to be dressed within the State of New
York, Judge Parker took a similar position. Again, in the case
of People v. Oregon Eoad Construction Co. (175 N. Y. 84, 94), the
court held that the law prohibiting any person contracting with the
State or with a municipal corporation from requiring more than
eight hours' work for a day's labor was unconstitutional, being in
conflict with the fourteenth amendment of the Federal Constitu-
tion, because it created an arbitrary distinction between persons
contracting with the State or with a municipality and other em-
ployers of labor, and thus denied to persons within the State's
jurisdiction the equal protection of its laws. Judge Parker, in this
case, concurred in the result on a question of pleading, but took
pains to go on record as dissenting "from even the expression of a
doubt as to the power of the State to enforce its constitutional
mandate by making a violation thereof a crime, whether such vio-
lation arises under contract with the State or otherwise." It is
important to note that the United States Supreme Court very re-
cently held, in the case of Atkin v. Kansas (U. S. Supreme Court
Opinions advance sheets, p. 124) that a similar provision of the
Kansas statute was not in conflict with the fourteenth amendment;
thus sustaining entirely his position in the prevailing rate of
wages case.
Another notable case was that of the National Protective Asso-
ciation v. Cummin (170 N. Y. 315, 331), in which damages were
sought by a labor union from the walking delegates of a rival
union who, by threats to strike, had caused the discharge of mem-
bers of the plaintiff's union. The court denied the right to relief.
Judge Parker, who wrote the opinion, held that a man may work
for another or not, just as he pleases, and if he pleases not, the law-
fulness of his choice is not diminished by the fact that the reason
he pleases not to is that his employer retains in his employ some
other man to whom he, the workman, objects. If he chooses not
to work, of course, he may stop working, and if he may stop work-
ing he may threaten to stop working. "A labor organization," he
says, "has precisely the same right as an individual to threaten to
do that which it may lawfully do." Three judges dissented, the
case being decided by a bare majority of the court.
The unbiased opinions of one's colleagues, those opinions which
have been formed by daily contact and close personal observation,
are always valuable. Hence the tribute of the Hon. Irving G.
Biographical Sketches of the Candidates. 59
Vann (a Kepublican in politics), who, as an associate of Chief
Judge Parker on the bench of the Court of Appeals for many
years, has had exceptional opportunities to observe the workings
of his mind, makes interesting reading at this time. "The strong-
est characteristic of Judge Parker's mind, in my opinion," says
Judge Yann, "is its absolute fairness and impartiality. He is so
constituted by nature that his mind is incapable of taking any
but a logical view of a legal question, wholly divested of outside
consideration. ... I could never see that his judgment was
influenced in the least by his acquaintance with one of the parties
to the action, or by the effect of a decision upon a political party,
where, for instance, election questions were before us. He reasons
with reference to broad general results rather than to special and
particular effects. He seems to have in mind what is the best rule
for all, now and for all time, rather than the effect upon the for-
tunes of the parties before him. He believes in a thorough sepa-
ration of the functions of the three great departments of govern-
ment in a free country — the executive, legislative and judicial. He
appreciates the theory of the Constitution of 1789, and that its
basic principle was a strong, sharp, well-defined line of demarca-
tion between the powers of these three great departments. He has
a profound reverence for law and believes in a strict obedience to
law, and that each of these departments should be compelled to
keep within its own sphere as defined by the Constitution ; that the
legislature should confine itself to legislation and never trespass
upon the domain of the executive and judiciary ; that, with equal
strictness, the judges should keep within their own department
and confine themselves to the construction of the law and never
venture into the region of the legislative or executive departments.
It follows, of course, that he has the same strictness of view with
reference to the duties of the executive department, and believes
that it should be confined to the execution of the laws without in-
terference with legislation or with the action of the judges. Cour-
age of his convictions is another strong characteristic in Judge
Parker's mental character. Whether he stands alone or represents
the views of the entire court, he expresses his conclusion with abso-
lute fearlessness and without regard to anything except his honest
conviction that that is the right conclusion. In reaching a con-
clusion he advances slowly, and his mind is open to receive the
views and listen to the arguments of others, but when he has
weighed and considered them all deliberately and has made up his
mind, no rock is firmer than his position from that time forward.
His mind is conservative, and the rights of property and personal
rights are always safe in his hands." Judge Vann finds in the
record of his associate "power, modesty, learning, strength of char-
acter, independence, conservatism and soberness of views," and
adds: "Every step in his judicial life, so far as known to me, has
reflected honor and dignity upon the position that he fills."
6o Biographical Sketches of the Candidates.
THE JUDGE'S HOME LIFE.
Judge Parker's home life has been almost ideally happy. Early
in his career he married Mary L. Schoonmaker. They have had two
children. John M. Parker, their only son, died at the age of
seven years. Bertha, their daughter, married Charles Mercer Hall,
the young rector of the Episcopal Mission of the Holy Cross at
Kingston. Two children have been born to Mr. and Mrs. Hall —
Alton Parker, four years of age, and Mary, two years. Judge
Parker takes great delight in the company of his grandchildren;
his judicial dignity is at no time a bar to a jolly romp with them.
A recent writer in the New York Times has thus described Judge
Parker's home life: "Esopus, where Judge Parker has his resi-
dence, is a modest little village consisting of about thirty houses
built scatteringly along a country crossroad. The Hudson, which
here spreads out to surround the island of Esopus, stretches away
before the eye in all its grandeur. The peaks of the Catskills
form the background of the picture. On top of a hill, from which
the eye can sweep the picturesque river and mountain scenery,
stands Rosemount. The house, which stands fully one hundred
feet above the river, is a big, square two-and-a-half -story structure.
All about it are giant trees, and the approach to it is along a
graveled path which divides a perfect lawn ornamented with flower
beds. A trail leads down to the river bank, and at the end of the
trail in the summer there is moored a naphtha launch, christened
the Niobe, which Judge Parker has for the use of himself and
family. When the visitor stands upon Judge Parker's porch and
takes in the magnificent scenery it is impossible to suppress a feel-
ing of envy. The older part of Rosemount Hall was standing
when the British fleet anchored directly in front of it in 1777, on
the night before Kingston was burned. Through the center of the
house runs a broad hall used as a living room, the walls of which
are lined with a miscellaneous collection of books — the works of
standard writers of prose and poetry. Judge Parker's library oc-
cupies nearly the whole of the southern part of the first story.
The walls of the room are nowhere visible. From the polished
bard-wood floor to the ceiling mount row after row of books. There
are thousands of them. Revolving cases support still other books
to which the judge has found he needs to make frequent reference.
In the bow window of the room is a small flat-top table, while down
the center of the room stretches a big directors' table. On these
tables, upon which there are more books and usually piles of
documents, Judge Parker does his work. When at Rosemount
Hall he rises at seven o'clock, and one of his first acts during the
summer months is to don a bathing suit, run down the steep hill
to the Esopus landing, and take a plunge into the Hudson. He is
an expert swimmer and is fond of that form of exercise and recrea-
tion. After breakfast he usually mounts his saddle horse and takes
a ride around the farm, which comprises several hundred acres.
All of the operations on the farm are carried on under the super-
vision of the judge himself, who is a practical farmer. The judge's
Biographical Sketches of the Candidates. 61
special hobby is his blooded cattle. The inspection of the farm
is completed about eleven o'clock, and returning to the house Judge
Parker reads his mail and the morning papers until noon, Avhen
the family sit down to luncheon. After the mid-day meal Judge
Parker shuts himself up in the library with his private secretary
and the family see nothing more of him, unless there is urgent
reason for disturbing him, until he is called for the evening meal
at six o'clock. Even when he is in Albany, presiding over the
sessions of the court, the judge does not allow himself to be robbed
of his daily exercise. He is up by seven o'clock every morning, and
no matter how cold the weather may be, he has a horseback ride
before breakfast."
HENRY GASSAWAY DAVIS.
WRITTEN BY CHARLES S. ALBERT, AND REPRODUCED BY PERMISSION
FROM "REVIEW OF REVIEWS.")
Henry Gassaway Davis was born in the village of Woodstock,
Maryland, a few miles from Baltimore, November 16, 1823. He
comes of Scotch- Welsh stock. His father was Caleb Davis, and
his mother, before marriage, was Louisa Brown. His mother's
ancestors served in the Eevolutionary army. His father was a
soldier in the War of 1812, after which he retired as a successful
merchant, and lived on a farm in Howard County, Maryland.
He founded the village of Woodstock, took contracts for railroad
construction, lost his fortune, and soon -after died, leaving a widow
with four sons and a daughter. Henry at once became a bread-
winner, depriving himself of educational advantages in favor of a
younger brother, contenting himself with the meager mental train-
ing of a country school, and beginning work on the farm of former
Governor Howard. The boy was willing, active, and intelligent.
When nineteen years old, he obtained a position as freight brake-
man on the Baltimore & Ohio Eailroad, which had been extended
to Cumberland. He was soon promoted to be a conductor. The
energetic manner in which he cleared up a wreck secured him a
passenger run.
After five years of railroading, Mr. Davis was made master of
transportation and given his first opportunity to display executive
ability. He was successful. He made operative the plan of run-
ning railroad trains at night. Prior to this innovation, all trains
would stop until morning at the stations where darkness overtook
them. Mr. Davis sent an experimental train through from Cum-
berland to Baltimore, and since that time there has been no sus-
62 Biographical Sketches of the Candidates.
pension of running schedules at nightfall. At that period, Mr.
Davis received a salary of less than one hundred dollars per month,
but he found it ample to assist his mother in supporting his
brothers and sister, laying aside, in addition, sufficient to establish
a home for himself. In 1853, he married Miss Kate, daughter of
Judge Gideon Bantz, of Frederick, Maryland. Her death, in 1902,
after almost half a century of domestic happiness, proved a severe
blow.
BEGINNINGS IN BUSINESS.
Mr. Davis was appointed agent for the Baltimore & Ohio Rail-
road at Piedmont, W. Va., in 1854. He promptly realized the
business opportunities presented in that new country, and assisted
his brother, William R. Davis, to become a shipper of coal and
lumber. In 1858, he resigned from railroad service and formed
the firm of Davis & Brothers. In addition to handling natural
products, a general merchandise business was conducted. In that
year Mr. Davis organized the Piedmont Savings Bank and was
elected its president. At the close of the Civil War, the founda-
tions of a fortune were rapidly and securely established. In 1867,
Davis & Brothers purchased several thousand acres of land in
Garrett County, Maryland. Timber for ties, bridges, and other
purposes was supplied to the railroad company. Mr. Davis laid
out on this tract the mountain resort of Deer Park, and con-
structed an elegant summer residence, where simple hospitality
was extended all visitors.
The Deer Park investment having furnished him with sufficient
funds, Mr. Davis began obtaining extensive tracts of land in the
Cheat River and Upper Potomac regions. Prior to that time, he
had carefully examined that territory, desiring to procure infor-
mation at first hand. All his investigations were made in person.
He thoroughly explored the sections in which he sought to acquire
property, traveled on foot, and frequently slept at night in the
woods. He was conversant with every acre of that undeveloped
country, and knew that its forests and hills contained fabulous
wealth. The only requisite was a railroad. It was years before
Mr. Davis could combine the needed capital to make his plans
effective, but when the money was available, he began building the
West Virginia Central & Pittsburg Railroad.
Mr. Davis became a student of political economy while serving
as a passenger conductor. He was a Whig. Henry Clay often
traveled over the road with him, and the great Com-
moner received his vote when a Presidential candidate.
Mr. Davis aided the Union cause during the Civil War. He fur-
nished the Government with supplies, and naturally became a
Conservative Unionist at the termination of the struggle. The
Democratic party in West Virginia was the outgrowth of that
political organization. Mr. Davis actively participated in public
affairs, was elected to the Assembly in 1866, and was a member
of the Committee on Commerce and Finance. Two years later,
Biographical Sketches of the Candidates. 63
he was chosen a State Senator, and was re-elected. As chairman
of the joint committee on finance, his efforts were successful in
placing the State on a firm monetary basis.
After refusing a nomination as Representative from the Con-
gressional district in which he lived, in 1870, Mr. Davis was the
ensuing winter elected United States Senator, with the aid of Re-
publican votes, and took his seat as a Democrat on March 4,
1871. He was prominent in all the bitter debates of that period.
As a Senator, Mr. Davis antagonized the civil rights bill, which
was passed despite opposition and subsequently pronounced un-
constitutional.
A DEVELOPER OF WEST VIRGINIA.
In order to protect his enormous property interests, Mr. Davis
declined re-election after serving twelve years in the Senate. He
then devoted his entire time to developing the coal and lumber re-
gions of West Virginia, completed the construction of additional
railroads, opened up new mines, became locally identified with
every section of the State, and built himself a residence of stone —
Graceland — on a hill north of Elkins, West Virginia, where he
now spends the summers. His winter home in Washington was
closed after the death of his wife. When in the national capita!, he
lives with his son-in-law, Arthur Lee.
Mr. Davis was a delegate to the Pan-American Congress. He is
a member of the United States Inter- Continental Railway Com-
mission.
No man can surpass Mr. Davis in amiability. His clear brown
eyes are always laughing. He is invariably pleasant and approach-
able. He is democratic by profession and practice. His voice is
ordinarily keyed to a low, soft, musical pitch, but when occasion
requires he can give it the most surprising force and volume. The
vehemence of these infrequent utterances belie the surface indica-
tions of under-strength. He is in no sense a rugged-looking man.
His step is not firm or elastic. It never was either. He walks
with an easy, sliding motion. He is never garrulous, but always
conversational.. He can talk much but say little. He will dis-
cuss any subject in the most entertaining manner for two hours
and convey no information that he does not care to impart. It
can readily be seen where Senator Gorman, the first cousin of Mr.
Davis, found his model for silence or pleasant utterances devoid
of harmful results. The tender-heartedness of Mr. Davis is pro-
verbial. The affection manifested for his dead wife is pathetic.
Tears come into his eyes whenever her name is mentioned in his
presence.
The physical endurance of Mr. Davis is surprising, and almost
irritating to younger men who do not possess his untiring vitality.
He seems never to become tired. He is always fresh and vigorous.
His capacity for hard work is unlimited. Neither loss of sleep
nor hardship impairs his energy. A striking illustration of this
characteristic was given at the St. Louis convention. Mr. Davis
64 Biographical Sketches of the Candidates.
sat in a not over-large room, as a member of the committee on
resolutions, from 8 o'clock Thursday evening to 11.30 o'clock
Friday morning — fifteen and a half hours, — and emerged with his
usual brightness of eye and composedness of manner. Men of but
little more than half his age were haggard and weary. Mr. Bryan
appeared to be on the verge of exhaustion. Senator Tillman was
near the point of collapsing. Others were all more or less affected
by the all-night committee meeting, but Mr. Davis appeared to
have been freshened and invigorated by the long and arduous ses-
sion.
Mr. Davis regards horseback riding as the best possible form of
exercise. He may be seen on every pleasant day cantering along
the mountain roads, sitting erect, and managing his animal with
ease and skill. It is less than a year since he rode on horseback
from Elkins to Charleston, a distance of more than two hundred
miles, in five days. The road passes through an unbroken and
mountainous country, and his friends and neighbors still marvel
at this exhibition of unimpaired vigor. Long hours of almost
incessant activity constitute the daily routine of Mr. Davis in his
summer home. He allots the same period to labor now as when
serving as a brakeman.
PHILANTHROPY AND PUBLIC SPIRIT.
Mr. Davis's fortune was realized from the original purchases
of hills and forests in Maryland and West Virginia. His philan-
thropy has kept pace with his prosperity. While Presbyterianism
is his predilection, he has made regular and liberal gifts to all de-
nominations. He is a close personal friend of Cardinal Gibbons,
and has given much aid to the church represented in the United
States by his eminence. He gave a new high school to the city
of Piedmont in 1886. In 1893, he gave a nine-acre park to the
town of Elkins. He and his brother, Thomas Davis, erected the
Davis Memorial Church, at Elkins, as a tribute to their mother.
He gave eleven thousand dollars to the State for a Children's Home
at Charleston, West Virginia, endowing it with an annuity of one
thousand dollars for maintenance. He erected the Davis Memorial
Hospital, at Elkins, in memory of his eldest son, Henry G. Davis,
Jr., who was drowned off the coast of South Africa in 1896. He
recently gave a large sum for the establishment of a Presbyterian
school, now under construction, on one of the hills adjacent to
Elkins. He built a church for colored people. He regularly con-
tributes freely to churches, hospitals, and schools, in his own State
and in other sections of the country.
Mr. Davis probably holds the record for consecutive attendance at
national conventions of his party. He had been a delegate to six
such gatherings prior to the one which made him the nominee for
Vice-President.
In the Democratic convention of 1884, Mr. Davis was requested
to accept the nomination for Vice-President, but declined to per-
mit the use of his name in that connection. He threw his strength
Biographical Sketches of the Candidates. 65
and influence to Mr. Hendricks. The Senator was called into con-
sultation by President-elect Cleveland when the formation of
a cabinet was under consideration. He was offered the position
of Postmaster-General, but declined on account of his business
affairs. He was subsequently considered by Mr. Cleveland for a
cabinet place upon the retirement of Mr. Manning, as Secretary
of the Treasury, and Mr. Lamar, as Secretary of the Interior. In
both instances he refused to accept office. He has repeatedly been
urged to become a candidate for governor of West Virginia, but
without success. Democratic leaders have always insisted that Mr.
Davis as a gubernatorial candidate could redeem the State from
Republican domination. The fact that many thousand employees
engaged in railroad and mining operations are either directly or
indirectly in the service of Mr. Davis has strengthened the impres-
sion that his acceptance of the nomination would be equivalent to
-an election.
.ATTITUDE ON LABOR.
Mr. Davis's career eminently qualifies him to judge fairly be-
tween the rights of laborer and employer. A fairer declaration
on the labor question could not be asked than his letter dated
August 15th, last, to Mr. I. V. Johnson, of Roanoke, Virginia,
which was as follows :
"I think I can well claim that I belong to the laboring class, as for
many years I worked in the ranks as a wage-earner, and I know what
it is to earn my living by the sweat of my brow. On the other hand,
I have been a large employer of labor, in railroads, coal mines, lum-
ber mills, etc., and have never had any serious trouble with our men.
I can recall but two instances in which there were strikes, and these
were of short duration and peaceably settled.
"No man has ever been discharged from our service because he was
a union man, or been evicted from a company's house for any reason.
I think you will find that the conditions of the railroad man and the
miner in connection with the enterprises I have directed will compare
most favorably with those in other localities of the country.
"I always have believed, and my conviction came from the hard school
of experience, that measured by the character of the work he does and
the cost of living, every man is entitled to full compensation for his
services.
"I am charged with having instituted proceedings which led to an
injunction against strikers by Judge Jackson of this state. The fact
is, I had nothing whatever to do with the case and knew nothing about
the matter until I read of it in the newspapers. The injunction did
not apply to the men in our employ or pertain to them in any way.
"On the contrary, I remember on one occasion, one of our superin-
tendents suggested an injunction against our men, and I declined to con-
sider it. H. G. Davis."
THEODORE ROOSEVELT.
FALSE AND DEAD ISSUES AGAINST TRUE AND LIVING ISSUES.
(From the New York World, July 30, 1904.)
"We are content to stand or fall by the record which we have
made and are making."— PRESIDENT ROOSEVELT'S
SPEECH OF ACCEPTANCE.
The paramount issue of this campaign is not, as you would have
it, free trade or free silver, but YOU yourself — Theodore Roose-
velt.
This issue is forced upon the country by your unusual tempera-
ment and talents — your own strong, able, ambitious, resourceful,
militant, passionate personality, your versatile and surprising
genius. As the French king said of the state, you can with greater
truth say of the Republican party, "It is II" More absolutely
than any of your predecessors in office ever did, you procured your
own nomination. You dictated the platform. You edited the nom-
inating speeches. You appointed the campaign manager. You
moved your Cabinet officers like pawns to meet the exigencies of
your game of politics. By an act of Executive usurpation you
added many thousands of pensioners to a roll already containing a
million names, in order to makes votes for yourself — the first open
use ever made of the National Treasury as a party's campaign
chest.
You have glorified war and threatened the future peace of the
country by proposing a bullying over-lordship of the other coun-
tries in this hemisphere, and offering to constitute the United
States the Constable and Collector for Europe in the rotten and
irresponsible^tates of Central and South America.
You have,%y your recommendations to Congress and your signa-
ture to its extravagances, increased the national expenditures dur-
ing your term to more than $2,500,000,000 — an excess of $211,-
000,000 over the expenditures during President McKinle/s term
(which included the expenses of the war with Spain), and exceed-
ing the cost of President Cleveland's second term by $880,000,000.
You and the Congress of your party have converted a surplus of
$80,000,000 in 1900 into a deficit of more than $40,000,000 for the
fiscal year just closed1.
This extravagance is encouraged, and in fact made inevitable,
by the high tariff and policies of war and imperialism of which you
are the most strenuous champion. The greater the revenue from
customs the greater the temptation for lavish expenditures. The
more colonies and dependencies we have the greater the need of
False and Dead Issues. 67
more warships, more fortifications, more coaling stations, more
soldiers. Every high protectionist is a jingo, and every jingo a
high protectionist. These cardinal (features of the [Republican
policy are interrelated and interdependent. They stand to each
other in the relation of cause and effect.
In view of this surpassing record of extravagance, it is perhaps
not strange, but will be regarded by the taxpayers as significant,
that the words "economy," "retrenchment" and "reform," once
the rule of the nation and the shibboleth of statesmen, do not once
appear in your entire speech of acceptance — NOT ONCE !
You say in your speech of acceptance that "prosperity has come
at home." Are there not many thousands of workingmen who
have great reason to feel that prosperity is departing? Does the
army of striking cotton operatives, whose wages have been reduced
22 J per cent, since 1900, find that "wages are higher than ever be-
fore"? Do the tens of thousands of employees dismissed by our
great railway systems share your roseate view? Are the partici-
pants in or the victims of the strike against the exactions of the
Beef Trust throwing up their hats over the "full dinner-pail"?
Deserting your early convictions in favor of a freer trade, you
cultivate the monopolistic campaign contributors of your party by
"standing pat" for a tariff higher in its average duty than the
highest schedules of the war time — a tariff which the Republicans
of Iowa have declared to be a "shelter to monopoly," which the
Republicans of Wisconsin demand shall be revised in the interest
of consumers, and which tens of thousands of Republicans in Mas-
sachusetts and elsewhere insist shall be modified by a reciprocity
treaty with Canada.
The principle of protection has been maintained by every party
that has held power in this country since the adoption of the Con-
stitution, including the administrations of eight Democratic Presi-
dents. Representative Clark, Chairman of the St. Louis Conven-
tion, truly said that "the Democratic party is not a free-trade
party." Protection, however necessary under some conditions, is
both needless and unjust when infant industries have become hoary
monopolies. It is especially oppressive and exasperating when per-
verted to enable favored manufacturers to maintain arbitrary high
prices in the home market while underselling foreign competitors
in the markets of the world.
The free coinage of silver, which was the decisive issue in the
last two elections, is no longer a living question, though there are
indications in your speech that you will seek to revive it. The
overwhelming verdict of the people, regardless of party, in the last
two elections; the law of 1900 re-establishing the gold standard;
the enormous increase in the world's production of gold ; the fact
that no party and no public man of importance, not even Mr.
Bryan, is now advocating free silver; and, beyond all, the declara-
tion of your opponent, Judge Parker, that he regards the ?old
standard as "firmly and irrevocably established"— a declaration
unreservedly accepted by the St. Louis Convention by a vote of
68 False and Dead Issues.
774 to 191 — afford cumulative proof that the silver issue is dead
and buried past resurrection.
You boast that your policy is "to do fair and equal justice to
all men, paying no heed to whether a man is rich or poor." Can
it be maintained that a tariff law which enables favored manu-
facturers, in return for big campaign contributions, to levy tribute
on the whole body of the people is an example of "fair and equal
justice"? Who represents anti-monopoly and the rights of labor
in your Cabinet ? Is it Secretary of the Treasury Shaw, the banker,
who preaches that high prices are a blessing ? — or Attorney-General
Moody, who has not lifted a finger to enforce the anti-trust laws ? —
or Secretary of the Navy Morton, lately a Vice-President of the
Santa Fe Eailroad, an ally of the Beef Trust? — or Secretary of
the Navy Metcalf, a political representative of the Southern Pa-
cific Eailroad? — or Postmaster-G-eneral Payne, long the legislative
and lobby agent of railroad and other corporations?
Do these acts of yours give very strong backing to your words
asserting equal regard for all classes?
You say of the "great organizations known as trusts," that "we
do not have to explain why the laws against them were not en-
forced, but to point out that they actually have been enforced."
This will be news indeed to the victims of the unpunished and
unhampered Beef Trust and the other "conspiracies in restraint
of trade" which continue to stifle competition and to rob con-
sumers in defiance of law.
Far worse than this political partnership with trusts under the
tariff is the blow which you dealt to public confidence in the sin-
cerity of your opposition to monopoly by the changes in your
Cabinet on the eve of your personal campaign for election to the
Presidency.
The politic removal of Attorney- General Knox just as he had
demonstrated in one notable instance his ability to enforce the
law against combining corporations, after all previous Attorneys-
General of both parties had failed, was a shocking submission to
the plutocratic power which with admirable courage you success-
fully challenged in the Northern Securities case. But the trans-
fer of Secretary Cortelyou from the head of the Department of
Commerce — created, as the law declares, to make "diligent investi-
gation" of the affairs of corporations, and, as your platform says,
to secure "reasonable publicity to their operations" — to the Chair-
manship of your Campaign Committee, has all the appearance of
deliberate preparation for partisan blackmail of the very corpora-
tions that were to be investigated.
Mr. Cortelyou, formerly your private secretary, was at the head
of the Department of Commerce just long enough to acquire by
"diligent investigation" such information as would be useful to
the filler of your campaign chest. The public does not share this
information. There is no evidence that the law officers of the
Government are making use of it to suppress and punish such
odious and oppressive monopolies as the Beef Trust—which con-
False and Dead Issues. 69
trols the greater portion of the meat supply of 80,000,000 people.
But ex-private and ex-public Secretary Cortelyou — Chairman Cor-
telyou of your Campaign Committee — no doubt knows all that the
law enabled him to learn of the inner workings of the potential
campaign contributors.
What save a consuming ambition to be elected President in your
own right could have led you to shift your successful trust prose-
cutor to Quay's place as a trust agent in the Senate, and to con-
vert your confidential private secretary and trust investigator into
a campaign trust fat-fryer, in place of Mark Hanna, deceased?
You boast that "never has the administration of the Govern-
ment been on a cleaner and higher level/' We appeal to all honest
men whether in the annals of our Government there was ever a
grosser abuse of power, a greater public scandal or a more un-
principled defiance of decent public opinion than is this transfer
of an official investigator and curber of great corporations to be a
collector of campaign funds from them !
You say that you "earnestly desire friendship with all the na-
tions of the New and Old Worlds," and that you think "peace is
right as well as advantageous." Can you wonder that the people
find it hard to recognize in these pacific utterances the Roose-
velt they have known hitherto? A short time ago, in urging the
creation of an ever larger navy, the advice you gave for the guid-
ance of the nation was : "Speak softly, but carry a big stick." Is
the man who habitually does this generally "seeking peace"? Do
you think that the other nations of -the New World thought that
you, as President of this Republic, really "desired peace and friend-
ship" with them when you wrote in your letter to the Cuban
dinner :
"Any country whose people conduct themselves well can count
upon our hearty friendliness. If a nation shows that it knows how
to act with decency in industrial and political matters, if it keeps
order and pays its obligations, then it need fear no interference
from the United States. Brutal wrong-doing or an impotence
which results in the general loosening of the ties of civilized so-
ciety may finally require intervention by some civilized nation, and
in the Western Hemisphere the United States cannot ignore its
duty/'
Is not this unmistakably a threat that if any of the republics
of Central or South America fails to "act with decency" — you
being the judge — or if it fails to "keep order and pay its obliga-
tions" (as some of the States of our Union have failed to pay),
it "need fear no interference from the United States"; but that
if any or all of these States fail to live up to your standard of
order and morality, "civilized society may finally require inter-
vention/' and that then "the United States cannot ignore its
duty"?
In other words, you propose that you, as President of the United
States, shall constitute yourself the Supervisor and Sponsor of all
the turbulent, chronically revolutionary, bankrupt sham republics
JO False and Dead Issues.
of the Western Hemisphere, and will undertake to make them "act
with decency" and pay their debts to the bondholders, speculators
and usurers of Europe!
Can even the wildest imagination conceive a more grotesque,
preposterous and dangerous perversion of the Monroe doctrine
than is contained in this extraordinary proposition? It combines
the humbug of Barnum with the hypocrisy of Uriah Heep — and
all to prove, as you say in your speech, that the non-interference
doctrine of James Monroe is "a living reality" !
If there could be devised a more effective perpetual invitation
to war and trouble than this policy holds out, the imagination of
diplomatists and the combative instinct of soldiers looking for a
fight have not yet conceived it.
Can you wonder that the conservative business men of the coun-
try, who above all need stability and security in their affairs,
want a President in the White House whose temperament, train-
ing and character will enable them to go to sleep at night without
fear of waking on any morning and learning from startling head-
lines in the newspapers that the President has despatched war-
ships to Turkey, Morocco, Venezuela, China or where not, on in-
sufficient information or with impossible demands — or has been
cabling buncombe messages that he wants "Perdicaris alive or
Raissuli dead," or ordering some of our Southern neighbors to "act
decently" and "pay their debts" ?
These being the results, the tendencies and the dangers of your
Administration and your policy, are we not right in saying that the
paramount issue of the election is whether you, Mr. President,
shall have a vote of approval, confidence and encouragement to
go on in the course you have marked out? You would have the
right to accept your election as a warrant from the people to con-
tinue, to increase and to intensify the Executive acts which have
amazed and alarmed the friends of peaceful, lawful and safe ad-
ministration.
Our faith in the intelligence, the common sense and the con-
science of the American people is too great to believe that they will
give a commission for four years in his own name to the chance
pilot who is now heading the ship of state toward the rocks upon
which other republics have been wrecked — tolerated usurpations
by the Executive ; warlike adventures for gain and glory ; contempt
for law; privileged classes sustained by election bribes; corruption
in high places and extravagant expenditures from unjust taxes.
Honor and prudence alike require a change of pilots and a return
to the chart of the Constitution, to the rule of law and the flag
of a peace-loving republic.
Not for the Democratic party but for democratic institutions
is this written. Not against the Eepublican party, but for the
Republic. Not in the interest of office-seekers against office-
holders, but in that spirit of independent thought and action, in-
spired by a common desire for the public good, which has led to
the extraordinary and most significant union in opposition to your
A "War Lord" for President. yi
candidacy of all the independent journals of the metropolis that
advocated the election of Mr. McKinley in 1896.
A "WAR LORD" FOR PRESIDENT.
Former Governor Black's nominating speech at the Chicago con-
vention was as much devoted to glorifying war as to eulogizing the
candidacy of President Roosevelt. It adds to the significance of
these utterances that this speech was, according to report, first sub-
mitted to and approved by Mr. Roosevelt himself. It is a little
singular that the President's friends think of him in connection
with the roar of cannon and the carnage of the battle field. In
the present situation of the United States, it is remarkable that
Governor Black should suggest that the fate of this nation is yet
to be "decided by war," and that the danger of such a war is so
imminent asjx) make it important that a warlike President should
occupy the White House during the next four years. Appended is
an .extract from Governor Black's speech :
NEED OF GRANITE AND IRON.
The fate of nations is still decided by their wars. You may talk
of orderly tribunals and learned referees; you may sing in your schools
the gentle praises of the quiet life; you may strike from your books the
last note of every martial anthem, and yet out in the smoke and thun-
der will always be the tramp of horses and the silent, rigid, upturned
face. Men may prophesy and women pray, but peace will come here
to abide forever on this earth only when the dreams of childhood are
the accepted charts to guide the destinies of men.
Events are numberless and mighty, and no man can tell which wire
runs around the world. The nation basking to-day in quiet con-
tentment and repose may still be on the deadly circuit and to-morrow
writhing in the toils of war. This is the time when great figures must
be kept in front. If the pressure is great the material to resist it must
be granite and iron.
The "great figure" Governor Black has in mind is, of course,
that of a military hero, rather than that of a peaceful statesman;
the figure of a man who shares his own views as to the futility of
all the dreams of advancing the progress of mankind except through
bloodshed, and especially his view that the fate of this nation is
yet to be decided by war.
As to the President's fitness to deal with such dire emergencies
as Governor Black describes, the candid and intelligent student of
his career will find but scanty materials from which to make up
his judgment. Mr. Roosevelt obviously possesses what he considers
the most necessary quality of a good soldier — the love of war. In a
speech at Sea Girt, in July, 1902, he said that the only trouble with
the Spanish -American war was that "there was not enough of it
to go round," and spoke of himself as one of the "lucky ones."
From this point of view it would seem to be a matter of regret that
the war was not more bloody and protracted so as to give every man
72 Roosevelt on Former Presidents.
a chance to get killed. In another speech he said : "No soldier is
worth his salt if he has not got the 'fighting desire. A good soldier
must not only be willing to fight, but he must be anxious to fight.
I do not want to have anything to do with him if he is not."
President Roosevelt, no doubt, thinks himself a good soldier,
filled with the "fighting desire," not only "willing to fight," if
necessity arises, but so "anxious to fight" that he would welcome
the opportunity. The people of the great American Republic think
that a man may say "let us have peace" and yet be a good soldier;
they assuredly are not eager to put themselves under the protection
of one who has developed no genius for war, but only a distaste
for peace, and a contempt for the settlement of disturbing inter-
national questions "by orderly tribunals and learned referees."
President Hayes once said that while the power to declare war
was given to Congress alone, any President by a rash and reckless
exercise of his powers could make war inevitable. Do we need a
President with the "fighting desire" in the White House, rather
than a successor of the line of peaceful statesmen who have oc-
cupied it?
ROOSEVELT ON FORMER PRESIDENTS.
Theodore Roosevelt employed his books, "Winning of the West,"
"Life of Thomas H. Benton," and "Naval War of 1812," published
a few years since, as vehicles for characterizing without restraint
many former Presidents of the United States. Here is his ex-
pressed opinion of eight predecessors in the White House :
Jefferson :
"Timid and shifty doctrinaire. * * * The most incapable execu-
tive to ever fill the President's chair."
Madison :
"Incapable. Results of his administration brought shame and dis-
grace to America in the war of 1812."
Monroe :
"He was a courteous, high-bred gentleman of no especial ability, but
well fitted to act as Presidential figurehead during the politically quiet
years of that era of good feeling which lasted from 1816 till 1824."
Jackson :
"Ignorant, headstrong, and straightforward soldier."
Van Buren:
"The first product of what are now called machine politics that was
put into the Presidential chair. He owed his elevation solely to his own
dexterous political manipulation, and to the fact that for his own selfish
ends, and knowing perfectly well their folly, he had yet favored or con-
nived at all the actions into which the Administration had been led,
either through Jackson's ignorance and violence, or by the crafty un-
Bcrupulousness and limited knowledge of the kitchen cabinet. Van Buren
On What Does the Republican Party "Stand Pat ?" 73
faithfully served the mammon of unrighteousness, both in his own State
and later on at Washington, and he had his reward, for he was ad-
vanced to the highest offices in the gift of the nation. He had no reason
to blame his own conduct for his own downfall. He got along just as
far as he could possibly get. He succeeded because of and not in spite of
his moral shortcomings."
Tyler:
"Tyler has been called a mediocre man; but this is unwarranted flat-
tery. He was a politician of monumental littleness. Owing to the nicely
divided condition of parties and to the sheer accident which threw him
into a position of such prominence that it allowed him to hold the balance
of power between them he was enabled to turn politics completely topsy-
turvy; but his chief mental and moral attributes were peevishness, fretful
obstinacy, inconsistency, incapacity to make up his own mind, and the
ability to quibble indefinitely over the most microscopic and hair-splitting
plays upon words, together with an inordinate vanity that so blinded him
to all outside feeling as to make him really think that he stood a chance
to be renominated for the Presidency."
Polk:
« # ♦ * These three men, Calhoun, Birney, and Isaiah Rynders, may
be taken as types of the classes that were chiefly instrumental in the elec-
tion of Polk, and that must, therefore, bear the responsibility for all the
evils attendant thereon, including among them the bloody and unrighteous
war with Mexico. With the purpose of advancing the cause of abstract
right, but with the result of sacrificing all that was best, most honest,
and most high'-principled in national politics, the Abolitionists joined
hands with the northern roughs and southern slavocrats to elect the man
who was, excepting Tyler, the very smallest of the line of small Presi-
dents who came in between Jackson and Lincoln."
Buchanan :
"Polk's Administration was neither capable nor warlike, however well
disposed to bluster, and the Secrtary of State, the timid, shifty, and selfish
politician Buchanan, naturally fond of facing both ways, was the last man
to wish to force a quarrel on a high-spirited and determined antagonist like
England."
ON WHAT DOES THE REPUBLICAN PARTY "STAND PAT?"
(Editorial from "New York American and Journal," June 29,
1904.)
The Republican party commits itself unreservedly to the policy
of "stand pat" and appeals to the country to support it in its hos-
tility to all change. In its National Convention last week it adopted
with cheers a platform declaring everything to be as it should be,
and with further cheers nominated "stand pat" candidates. Such
Republicans as are not for the "stand pat" idea had no influence
at the convention, and have none in shaping the course of the
party.
Since the Republican party has gone to the poker table for its
slogan, it is pertinent to say that wise gamblers "stand pat" only
on a hand so good that it cannot be improved, or on a poor hand
for the purpose of "bluffing" other players into the belief that
it is a first-class one.
74 On What Does the Republican Party "Stand Pat ?"
Consider seriously, are the national conditions so good that
they cannot be improved ? Is that the reason why the Republican
party "stands pat" on them?
Is the country so prosperous that it is either foolish or wicked
to think it might be made more so by intelligent legislation ?
Conditions are upon us which have thrown hundreds of thou-
sands of workingmen out of employment and reduced the earnings
of millions.
Does the Republican party "stand pat" on that state of things?
Idleness for an army of workers and the lowering of wages have
caused a widespread lessening of the people's purchasing power,
and a consequent decrease in sales and profits among manufacturers
and merchants. Thus has been brought on a general lethargy in
business.
Does the Republican party "stand pat" on that?
While wages and profits have gone down, the cost of living has
gone up through the arbitrary demands of extortionate trusts.
Does the Republican party "stand pat" on that?
Exports and imports have fallen off enormously.
Does the Republican party "stand pat" on that?
For the current fiscal year the Treasury statement shows an
excess in expenditures over receipts of about $45,000,000.
Does the Republican party "stand pat" on that ?
Monopolistic trusts continue to charge what they please for the
prime necessaries of life, and speculative trusts to overcapitalize
combined properties, swindling honest investors and transferring
the hard-earned dollars of the people from banks and legitimate
investments into worthless watered stocks.
Does the Republican party "stand pat" on that?
Trusts, protected by the tariff, sell cheaper to foreigners than they
do to Americans.
Does the Republican party "stand pat" on that?
In Colorado men are denied the constitutional rights of American
citizens, imprisoned without process of law and banished from the
State at the point of the bayonet for the crime of belonging to a
labor union.
Does the Republican party "stand pat" on that ?
Confederated predatory trusts, affecting to represent the country's
honest business interests, whose worst enemy they are, dictate
legislation in Washington and have the Administration's promise
that it will not "run amuck" against banded trust magnates who
break the laws but make heavy campaign contributions.
Does the Republican party "stand pat" on that ?
Instead of enjoying government by and for the people, we are
suffering under government by and for the trusts.
Does the Republican party "stand pat" on that?
The answers to all of these questions are obvious.
The Republican party "stands pat" on conditions which MUST
BE CHANGED if we are to have republican government and not
On What Does the Republican Party "Stand Pat?" 75
government by a plutocracy that is insensible to everything save its
own immediate financial interests.
The Republican party as an organization "stands pat" on the
trusts, and it is the most remarkable organization the Republic
has ever known. Nationally the party has become as compact,
as obedient to orders, as easily "bossed" as any city "machine."
But the Republican organization is not the whole of the Repub-
lican party.
The organization consists of politicians, and to carry out the
policy of "stand pat" they must get the votes of millions who are
not politicians.
Every party carries with it the bulk of its adherents, no matter
whether its policy be one of "stand pat" or change and reform.
But in all parties there is an element which will not follow when
the leaders give the word of command if the direction of the march
does not seem to it right.
So there is Republican rebellion in Wisconsin, Republican dis-
affection in Iowa, in North Dakota and throughout the Northwest.
Governor La Follette refuses to submit to a national machine
which he denounces as plutocratic, and the farmers are restive under
a tariff which fosters and protects monopoly, making dear all that
they are compelled to buy.
Among the rank and file of the Republican party everywhere
are men who are patriots first and partisans afterward. They do
not believe that their party is in no need of cleansing, or thai its
tendencies and associations and policies are all so admirable that
it should "stand pat," boast of its outlived past, brag of its trust-
controlled present and promise no advance in time to come. These
Republicans are Americans who hold to the American doctrine of
equal rights and no privileges, and object alike to servitude and rob-
bery under government by the trusts. They have been faithful
to their party in the hope that it would shake off the influences
that have corrupted it into sordidness and become again what it
once was — a party of moral ideas, of aspiration, of progress.
To such Republicans — the cynical and defiant announcement by
the plutocracy-ridden Chicago Convention of the policy of "stand
pat" has been a blow in the face.
The Republican party, as represented by the machine, is satis-
fied to "stand pat." The trusts are satisfied to "stand pat." All
the "interests" that go into politics for what they get in the way
of governmental favors are satisfied to "stand pat."
But how about the PEOPLE, the plain American people — the
manufacturers, the storekeepers, the clerks, the mechanics, the pro-
fessional men, the laborers, who are neither politicians nor bene-
ficiaries of the trusts nor of trust- government — are THEY satisfied
to " stand pat"?
Patriotic and thinking Republicans, no less than patriotic and
thinking Democrats, know very well what is the matter with their
country; they know very well why prosperity is departing.
There is no lack of wealth in these United States. We have a
j6 The Silver Record of the Republican Party.
new continent of limitless natural resources and a people industri-
ous and enterprising beyond any other.
But monopoly has got its grip upon the resources, and that grip
has been steadily strengthened by favoring legislation — legislation
that arms the combination against the individual and aids power-
fully in concentrating wealth in few hands.
If we are to have prosperity, wealth must be distributed as well
as accumulated.
There is no more reason why we should have periods of hard
times in this young and rich republic than that we should be
periodically afflicted with, the black plague which centuries ago
paid recurrent desolating visits to Europe.
Medical and sanitary science has banished the plague forever,
and honest government — legislation designed for the good of the
whole American people and not for a class — together with an im-
partial administration of the laws would banish hard times from
America.'
It is class legislation, legislation for the class that dominates
the party in power, that is cursing the country.
Will patriotic and thinking Republicans remain with their party,
or- will they join with their patriotic and thinking Democratic
fellow-citizens in overthrowing government for private interests,
in restoring government for the public interest, and in making an
end of trust-rule — of the ossified, soulless, hard-times-inviting and
wholly plutocratic policy of "stand pat" ?
THE SILVER RECORD OF THE REPUBLICAN PARTY.
The comparison which President Roosevelt makes in his speech
of acceptance between the Democratic and Republican positions
on the money question is hardly ingenuous, either in its arguments
or in its statement of facts. "We mean the same thing from year
to year," he boasts, echoing in this respect the felicitations of
Speaker Cannon as to the staunchness and steadiness of Repub-
lican loyalty to the gold standard. Surely these two recently
converted bimetallists must have winked at each other during
this interchange of oratorical false history ! The President says,
substantially, that the Republican party can be trusted to maintain
the gold standard because it has alwa3's been for the gold standard ;
and he concludes with the remarkable statement that its position
on this question is not affected by conditions affecting the pro-
duction of gold. Whether gold becomes as scarce as radium or as
common as tin it will not, according to the President's logic, affect
the "fundamental principles of national honor and morality." Such
a statement removes the gold standard from the realm of economic
science. Silver, long universally regarded as an ideal money
metal, was demonetized solely on the plea that it had become too
The Silver Record of the Republican Party. 77
cheap and abundant. In the early fifties a formidable movement,
supported by leading economists and financiers, was begun for the
demonetization of gold for a like reason. Those Democrats and
Republicans who opposed the gold standard in the past because of
what they considered the excessive scarcity of gold, cannot be justly
accused of either insincerity or inconsistency because they have
ceased their opposition since the enormous and unexpected increase
in its production. Their attitude in this matter is not singular.
Leading bimetallists all over the world have ceased to agitate the
question for the same reason.
But our present concern is with the accuracy of the President's
historv rather than with his economic wisdom.
REPUBLICAN PARTY HISTORICALLY A BIMETALLIC PARTY.
The truth is that both political parties were for many years
pledged to the double standard and both equally opposed to the
gold standard as how established by law. So far from the Repub-
lican party having been a continuous and unfailing champion of
the gold standard it now appears in that role for the very first time,
just as President Roosevelt, himself, appears as a new convert to
that doctrine.
PRESIDENT M'KINLEY A FREE SILVER ADVOCATE.
The leaders of the Republican party, including President McKin-
ley himself, were for many years advocates of free silver or
bimetallism. Prior to 1896 it was quite the fashion in Republican
platforms and party speeches to "denounce" President Cleveland
and other wicked Democrats for trying to fasten the gold standard
upon the country. In 1891 Mr. McKinley made a speech at Toledo,
Ohio, in which he excoriated President Cleveland for being hostile
to bimetallism and said "during all of his years at the head of the
Government he was dishonoring one of our precious metals, one of
our own great products, dishonoring silver and enhancing the price
of gold. He was determined to contract the circulating medium
and demonetize one of the coins of commerce, limit the volume of
money among the people, make money scarce and therefore dear.
He would have increased the value of money and diminished the
value of everything else."
In 1890 he had said in Congress : "I am for the largest use of
silver in the currency of the country. I would not dishonor it;
I would give it equal credit and honor with gold. I would make no
discrimination; I would utilize both metals as money and dis-
credit neither. I want the double standard."
Quotations might be made at length from the speeches of Speaker
Cannon, Representatives Grosvenor and Hepburn, the late Mr.
Dingley of Maine, Senators Allison, Dolliver, and many others
along the same line.
78 The Silver Record of the Republican Party.
THE REPUBLICAN PLATFORMS ON SILVER.
The national Republican platform of 1888, which was reported
by Mr. McKinley as chairman of the committee, contained the
following plank:
"The Republican party is in favor of the use of both gold and
silver as money and condemns the policy of the Democratic ad-
ministration in its efforts to demonetize silver."
In 1892 the Republican money platform was as follows:
"The American people, from tradition and interest, favor bi-
metallism and the Republican party demands the use of both
gold and silver as standard money with such restrictions and un-
der such provisions to be determined by legislation as will secure
the maintenance and the parity," etc.
In 1896 the platform of the Republican party was as follows :
"We are opposed to free coinage of silver except by international
agreement, which we pledge ourselves to promote, and until such
agreement can be obtained, the existing gold standard must be
preserved."
In 1892 the Republican party was for bimetallism to be se-
cured by legislation without reference to international agreement.
In 1896, it was still for bimetallism and favored the gold stand-
ard as a "matter of temporary expediency," until it could be got
rid of by "agreement with foreign countries."
THE OHIO PLATFORM IN 1896.
Mr. McKinley was the nominee of the Republican party in
1896, but the declaration of the national Republican platform was
not such a declaration as he himseslf would have made. There
can be little doubt that the Republican Convention in his own state
of Ohio more accurately defined his individual views. The state
which was then pressing his candidacy for the presidential nomina-
tion would not have adopted a platform which was not thoroughly
satisfactory to him. The Ohio Republican platform in 1896 con-
tained the following plank:
"We favor bimetallism and demand the use of both gold and
silver as standard money, either in accordance with a ratio to
be fixed by international agreement, if that can be obtained, or
under such restrictions and such provisions to be determined by
legislation as will secure the maintenance of the parity values
of the two metals." It will be seen that the platform adopted
in McKinley's state in 1896 declared in favor of international
bimetallism, if that could be obtained, or if it could not, it was
to be had by independent legislation of the United States.
Such were the views of President McKinley in the very year
in which he was first nominated against William J. Bryan. The
Republican platform of 1900 says:
"We renew our allegiance to the principle of the gold stand-
ard. * * * We declare our steadfast opposition to the free
and unlimited coinage of silver. * * * No measure to that
end could be considered which was without the support of the
The Silver Record of the Republican Party. 79
leading commercial countries of the world." Though growing
weaker and weaker, there is still the suggestion of bimetallism in
the Republican platform.
The Republican platform of 1904 is the first unequivocal declara-
tion of that party in favor of the gold standard.
Thus it appears that only by slow and stealthy steps did the
Republican party at last reach the gold standard. It has never
made an approach to the gold standard except with the promise
of bimetallism upon its lips. It never proclaimed itself the friend of
the gold standard until after it had obtained power as the friend
of bimetallism. Soon after it had won the great battle of 1896,
its leaders resented with indignation the charge that it was a gold
standard party. Congress authorized and Mr. McKinley appointed
a commission to beg the co-operation of the European nations for
the establishment of bimetallism. When Mr. Quigg, of New York,
declared in debate in 1897, that the Republican party was for the
gold standard he was bitterly assailed by Mr. Hepburn, of Iowa,
and Mr. Grosvenor, of Ohio, as an "apostate" from Republican-
ism. Mr. Grosvenor denied that the Republican party was a sin-
gle gold standard party, and said that more than one hundred
Republicans had been elected to Congress in 1896, who would have
been defeated if the Republican party had declared for the gold
standard.
This is hardly a record upon which one can stand and chal-
lenge the sincerity of another. Might not one with at least equal
justice apply to the Republican party the language of Mr. Roose-
velt that "they appeal for confidence on the ground that if tri-
umphant they may be trusted to prove false to every principle"
they have advocated for the last sixteen years ?
PRES. ROOSEVELT ON THE QUESTION OF "DEFINITE COMMITTALS."
President Roosevelt charges the Democratic party with avoid-
ing a "definite and conclusive committal" for the gold standard.
But in 1896, he did not think it at all important that his own
party should declare against 16 to 1, claiming that silence would
in that case be equal to denunciation. In an article in the "Cen-
tury Magazine," in 1896, before the assembling of the Republican
Convention, he undertook to outline the Republican platform, and
said:
"Refusal to be for free silver means, of course, that the party is reso-
lutely against it; and the majority may rest content with this state of
affairs and spare the minority humiliation by .refraining from denouncing
in so many words the free coinage of silver. I should prefer that they did
denounce it; but the denunciation is really a matter of small consequence
when the attitude of the party is so clear."
This is plain and rational. The Republican Convention of
1892 had declared for bimetallism, with proper restrictions to
insure parity, indeed, but by the legislative action of the United
States alone. Mr. Roosevelt argued that under the circumstances
a mere failure to declare for free silver would be equivalent to
80 The Silver Record of the Republican Party.
an abandonment of that policy and would at the same time spare
the feelings of the free silver Republicans. Even so there were
Democrats at St. Louis who felt in 1904, as Mr. Roosevelt did
in 1896, that a refusal to include a free silver plank was tanta-
mount to saying that the party was "resolutely against it," and
that it was a matter of "small consequence" whether this opposi-
tion was expressed in words or by silence. Mr. Roosevelt, at least,
is not in a position to dispute the soundness of this view.
As a plain matter of fact, practically all Democrats agree that
for an indefinite time the question of the money standard has been
settled by the great and unexpected increase in the production of
gold. The President is doing no good service either to his party
or his country by attempting to raise that issue.
MR. ROOSEVELT AS A BIMETALLISM
In the "Century" article referred to Mr. Roosevelt took strong
grounds in favor of international bimetallism, and said:
"There is grave doubt as to whether the agreement can be reached; but
the end is of such importance as to justify an effort to attain it. The
people who oppose the move are, as a rule, men whom the insane folly of
the ultra free silver men has worked into a panic of folly only less acute."
To the mind of President Roosevelt in 1896, an out and out gold
standard man, such as he has since become, was only little less of a
lunatic than a "Bryanite." Yet he and the followers of Mr. Bryan
were alike trying to reach by different methods the same end — that
of replacing the gold standard with a double standard of gold and
silver.
Now why did Mr. Roosevelt regard it as "so important" to get
rid of the gold standard in 1896 by international agreement, while
in 1904 he regards it as vital to preserve it at all hazards? He
sneers at Democrats who offer rational explanations for their
change of position and claims a monopoly of sincerity for his
own party because it has abandoned its principles without telling
us why. Why does he say that those who can give solid reasons
for a change of attitude toward a public question are any less to
be trusted than the man or party who abandons a long cherished
policy for no reason whatever?
REPUBLICAN EXTRAVAGANCE.
THE DEFICIT IN THE TREASURY.
The expenditures actual and estimated for the four years of
President Roosevelt's incumbency aggregate $2,641,724,019.18,
which is $211,407,628.89 greater than the four years of McKinley's
although he conducted the Spanish War, and $883,024,802.75
greater than the last four years of Cleveland.
REMARKS OF SENATOR CULBERSON, OF TEXAS, IN THE SENATE,
APRIL 28, 1904.
Mr. Culberson. Mr. President, the statement which has just been
presented by the Senator from Iowa (Mr. Allison) is a useful and
valuable one. Among other matters, he has made a comparison of
the expenditures during the past two or three years. I desire, Mr.
President, to go somewhat further back in a comparison of the ex-
penditures of the Government, covering, in fact, the past twelve
years, beginning with the first full year of the last Administration
of Mr. Cleveland. For that purpose I present at this point a table,
which I have myself copied from the reports of the Secretary of
the Treasury, showing the total revenues and the total expenses of
each year. I present the table now, but without reading it, so as
not to occupy unnecessarily the time of the Senate. I ask that the
table may be printed in the Eecord.
The President pro tempore. In the absence of objection, it is so
ordered.
The table referred to is as follows :
TOTAL REVENUES AND EXPENDITURES FOR THE PAST TWELVE YEARS AS SHOWN
BY THE REPORTS OF THE SECRETARY OF THE TREASURY.
CLEVELAND.
Year. Revenues. Expenditures. Deficit.
1894 $372,802,498.29 $442,605,758.87 $69,803,260.58
1895 390,373,203.30 433,178.426.48 42,805,223.18
1896 409,475,408.78 434,678,654.48 25,203,245.70
1897 430,387,167.89 448,439,622.30 18,052,454.41
m'kinley.
1 898 $494,333,953.75 $532,381,201.35 $38,047,247.60
1899 610,982,004.35 700,093,564.02 89,111,559.67
1900 669,595,431.18 590,068,371.00 *79,527,060.18
1901 699,316,530.92 621,598,546.54 *77,717,984.38
ROOSEVELT.
1902 $684,326,280.47 $593,038,904.90 *$91,287,375.57
1903 694,621,117.64 640,323,450.28 *54,297,667.36
1904 (estimated) .. 674,767,664.00 660,767,664.00 * 14,000,000.00
1905 (estimated) .. 704,472,060.72 747,694,001.44 43,121,939.28
* Surplus.
Mr. Culberson. In the first full fiscal year of McKinley (1898)
the expenditures, as shown by the foregoing table, exceeded those
82 Republican Extravagance.
of the first full fiscal year of Cleveland (1894) by $89,775,442.48.
In the last full fiscal year of McKinley (1901) the expenditures
exceeded those of the last full fiscal year of Cleveland (1897) by
$159,333,631.62. The last year of Cleveland exceeded his first year
by only $5,833,863.43 ; while the last year of McKinley exceeded
his first year by $75,392,052.57. During the four years of Cleve-
land the total expenditures amounted to $1,758,699,216.43, while
during the four years of McKinley the total expenditures were
$2,430,316,390.29, and increase in four years under McKinley of
$671,617,173.86.
Taking from this the deficit of $18,052,454.41, coming over from
Cleveland in 1897, there will be left a net increase of $653,564,-
719.45, or about 38 per cent. The notable increase of expenditures
in 1898 over 1894 was $6,275,083.65 for pensions, $8,743,650.59
interest on the public debt, $27,122,691.01 in the naval establish-
ment, and $37,424,070.44 in the military establishment. The
notable increase in 1901 over 1897 was $25,438,453.71 in the naval
establishment, $35,747,938.31 in the civil establishment, and $91,-
049,732.11 in the military establishment.
Of the total net increase of $653,564,719.45 for the four years,
the notable increase, in round numbers, exclusive of the postal
service, was $19,000,000 interest on the public debt, $29,000,000
in the civil establishment, $116,000,000 in the naval establishment,
and $391,000,000 in the military establishment.
President Roosevelt assumed office September 14, 1901, and as
soon as he became firmly established in power and control, it will
be observed, increased expenditures began. The total expenditures,
actual and estimated, for the four years of his incumbency aggre-
gated $2,641,728,019.18, which is $211,407,628.89 greater than the
four years of McKinley, though he conducted the Spanish war, and
$883,024,802.75 greater than the four years of Cleveland. In the
first full fiscal year of Roosevelt (J903) expenditures exceeded those
of the first full fiscal year of McKinley (1898) by $107,942,248.83,
and in the last full fiscal year of Roosevelt (1905) expenditures, as
estimated by the Secretary of the Treasury, will exceed those of the
last full fiscal year of McKinley (1901) by $105,875,660.25.
Mr. Aldrich. Will the Senator give me the figures for the first
fiscal year of the present Administration, if he has them ?
Mr. Culberson. After I read this consecutively I will. The last
year of McKinley exceeded his first by $75,392,052.57, while the
last year of Roosevelt will exceed his first year by $134,435,301.89.
Of the total increase of $883,024,802.75 for the four years of Roose-
velt as compared with the four years of Cleveland, the notable in-
crease, exclusive of the postal service, is, in round numbers, $160,-
000,000 in the civil establishment, $231,000,000 in the naval estab-
lishment, and $284,000,000 in the military establishment. The
total cost of the military establishment, exclusive of pensions,
during the four years of Roosevelt, exceeds that of Cleveland by
$515,000,000.
The War Department has furnished me a statement of the war
Republican Extravagance. 83
budget of Great Britain, France and Germany for the year 1903,
including pensions, and I desire to insert at this point in the brief
statement I am making these budgets from the War Department,
to which I have added those of the United States for 1903 and the
estimated expenses of the military establishment for 1905.
STATEMENT OF BUDGETS OF GREAT BRITAIN, FRANCE AND
GERMANY DURING 1903.
GREAT BRITAIN. »
Army: Ordinary budget $168,709,355.00
Navy: Ordinary budget 172,287,500.00
Total $340,996,855.00
FRANCE.O
Army:
Ordinary budget $131,348,048.00
Extraordinary budget 1 6,212,000.00
Navy: Ordinary budget 62,694,905.00
Total $200,254,953.00
GERMANY.
Armv :
Ordinary budget $143,401,436.00
Extraordinary budget 16,082,267.00
Navy:
Ordinary budget 23,367,048.00
Extraordinary budget 35,344,467.00
Total $218,195,218.00
GREAT BRITAIN.
Ordinarv total budget (1903):
Army $135,424,355.00
Navy 172,287,500.00
Total $307,711,855.00
UNITED STATES FOR 1903.
War $118,619,520.15
Navy 82,618,034.18
Pensions 138,425,646.07
Total $339,662,200.40
UNITED STATES FOR 1905.0
War $142,294,000.00
Navy 106,841,000.00
Pensions 138,152,600.00
Total $387,287,600.00
a The Budget for Great Britain includes extraordinary credits for the
Transvaal war, the expedition to China and to Somaliland, etc. The or-
dinary budget amounts to $135,424,355.
6 The war budget includes $7,658,269 for the gendarmerie and $5,551,441
for colonial troops.
o Estimated. War Department,
Office of the Adjutant-General,
Washington, April 25, 1904.
Hon. Charles A. Culberson,
The Normandie, Washington.
Dear Senator Culberson: Complying with your request over the
'phone this afternoon, I beg to hand you herewith a memorandum show-
ing the costs of the military establishments of England, France, and Ger-
84 Republican Extravagance.
many, including pensions, so far as can be shown from the data on file
in the military information division of this Department.
Trusting the memorandum contains the information you desire, I am,
Very truly yours, W. P. Hall,
Brigadier-General, Assistant Adjutant-General.
Mr. Culberson. The total war budget of Great Britain for 1903
was $340,996,855; for Germany, $218,195,218, and for France,
$200,254,953. The total expenses of the military establishment
of the United States for 1903 was, in round numbers, $339,000,000.
If the expenses of the British operations in South Africa are ex-
cluded, the war budget of the United States for 1903 exceeded that
of Great Britain by $32,000,000; Germany by $121,000,000, and
France by $139,000,000. The Secretary of the Treasury estimates
that the total cost of the military establishment of the United States
for 1905, including pensions, will approximate $387,287,600, which
it will be observed still further increases this character of expendi-
tures in the United States over those of Great Britain, France and
Germany.
Mr. Culberson. I also ask leave to insert as a part of this state-
ment the letter of the Secretary of the Treasury, dated April 25,
1904, in which he gives me the estimates of expenditures for 1905,
which I have used in the statement, that I will now send to the
desk to have printed.
The Presiding1 Officer. Without objection, the statement pre-
sented by the Senator from Texas will be ordered printed in the
Eecord.
The letter of the Secretary of the Treasury referred to is as fol-
lows:
Treasury Department, Office of the Secretary,
Washington, April 25, 1904.
Hon. C. A. Culberson,
United States Senate.
Sir: In reply to your request of to-day I have the honor to inform
you that the estimates of appropriations for the year 1905, as submitted
by the several Executive Departments and offices and transmitted to
Congress at the beginning of and during the present session, aggregate,
in round numbers, as follows:
For the civil establishment, including foreign intercourse,
public buildings, collecting the revenues, District of Co-
lumbia, and miscellaneous expenses $165,697,000
For the military establishment, including rivers and har-
bors, forts, arsenals, seacoast defenses, etc 142,294,000
For the naval establishment, including construction of new
vessels, machinery, armament, equipment, improve-
ments at navy-yards, etc 106,841,000
For Indian affairs 10,888,000
For pensions 138,152,000
For postal service, payable from postal revenues 159,472,000
(Deficiency, $8,600,000, payable from Treasury and
charged in civil establishment.)
For interest on the public debt 24,250,000
Total, exclusive of the sinking fund $747,594,000
As the appropriations for the year 1905 have not all been made, it
is impossible for the Department to estimate the expenditures falling
within the ensuing fiscal year.
Respectfully, L. M. Shaw, Secretary.
SPEECH OF HON. LEONIDAS F. LIVINGSTON, OF GEOR-
GIA, IN THE HOUSE OF REPRESENTATIVES,
THURSDAY, APRIL 28, 1904.
The House having under consideration the subject of appropria-
tions—
Mr. Livingston said:
Mr. Speaker: I submit a statement showing the appropriations
made at each of the sessions of the Fifty-third Congress, which was
controlled in both branches by the Democratic party, for the fiscal
years 1895 and 1896, the estimates submitted by the Executive
Departments to Congress at this session, and the appropriations
made thereunder for the ensuing fiscal year 1905.
The appropriations for each of the fiscal years 1895 and 1896, as
made by a Democratic Congress, do not materially vary, as will be
seen, one from the other, and average only $494,619,602.84 for each
year.
The table also shows that appropriations for Federal expenditures
made under a Republican Administration, by a Eepublican Con-
gress, for the next fiscal year have reached the startling sum of
$781,574,629.99, or an increase of $286,955,027.15 over the average
of the last two years under Democratic control and within a period
of less than ten years.
I do not question the honesty of these vast appropriations, either
in their aggregate amount or in their details ; but I challenge the
wisdom of the policy of the dominant party that has made these
enormous expenditures necessary through the increase of the mili-
tary and naval establishments, the maintenance of which is at the
expense of needed internal improvements, such as river and harbor
works and public buildings. During the session which is just about
to close the Representatives of the people have been denied consid-
eration of the demands of their constituents all along this line, and
yet the appropriations for the Army show an increase over what
it cost in 1896 of $54,000,000 and the Navy the still greater increase
of $69,000,000.
Whatever may have been the sins of commission of this Congress,
they are as nothing compared to its sins of omission in denying
consideration to all legislation looking to the welfare of the great
masses" of the people.
The following editorial in the Washington Post of yesterday, an
influential and non-partisan journal published here in the national
capital, voices, I believe, an almost universal criticism against the
session of Congress just closing:
"POSTPONED TILL AFTER ELECTION."
A number of Republican organs, of varying caliber, are pointing
with pride that must be affected to the work that will have been
accomplished by the Fifty-eighth Congress at the end of its first
86 Speech of Hon. Leonidas F. Livingston.
regular session. If to have refrained from doing irreparable mis-
chief be worthy of glorification, the laudation of those organs is
in order. If to have put off to the more convenient season that will
probably never come most of the business that belonged to this
session be commendable, let the organs go on piping their praise.
It can not justly be said that the Fifty-eighth Congress has done
many things that it ought not to have done; but it has assuredly
left undone much work that it ought to have done. And the pen-
dency of a national election is the only excuse vouchsafed.
If this Congress at this session was under any obligation to the
country to do anything at all beyond passing appropriation bills
to keep the machinery of Government in operation for the next fiscal
year, it was bound to mature and enact legislation for the reform
of our wretched hodgepodge of currency laws. Postponement of
that duty had been carried far beyond the safety limit, and equally
beyond excuse, long before this Congress met. That is the opinion
of the ablest financiers, irrespective of party. That was the opinion
expressed by the chairman of the Senate Finance Committee before
the end of the Fifty-seventh Congress.
This Congress came in pledged to tariff revision. The session
will close with that duty untouched. It is a clear violation of good
faith, a surrender to the standpatters in the interest of the few
against the many. There can be no tariff legislation at the next ses-
sion, for no time will be available for that purpose.
Besides those two great subjects, on which legislative action was
due and expected from this session, there are many other matters of
moment laid over "till after the election." That phrase records the
situation of the ship-subsidy bill, statehood, rivers and harbors,
immigration, the Smoot case, impeachment of Swayne, labor bills,
land leases, and other propositions — all put off for political reasons,
all evaded, not for lack of time, but for want of courage.
If this sort of thing goes on — if it becomes, as bids fair to be
the case, the unwritten law to postpone all but unavoidable legisla-
tion "until after election'' — what will be the result ? That question
is worth considering. Under our Constitution and statutes every
House of Eepresentatives is on the eve of an election when the first
session of a new Congress convenes. At the time the Eepresenta-
tives have been elected from thirteen to eighteen months, and the
next election is staring them in the face. They have even more
reason for timidity in the years between than in the Presidential
years. Suppose timidity should continue to grow until "after the
election" became the only time for Congress to do business, what
would the country do ?
We can see but one ray of hope. Executive legislation looms up
as the last resort ; either that or chaos.
Speech of Hon. Leonidas F. Livingston.
87
Table Showing Appropriations Made by the Last Democratic Congress, the
Fifty-third, and by the First Session of the Fifty-eighth Congress.
Fifty-eighth
Congress,
First Session.
fiscal year
1905.
« Fifty-third Congress »
First session, Second session,
for fiscal year for fiscal year
1894-95 1895-%
Agriculture $3,223,623.06 $3,303,750.00
Army 23.592,884.68 23,252,608.09
Diplomatic and consular 1,563,918.76 1,574,458.76
District of Columbia 5,545,678.57 5,745,443.25
Fortification 2,427,004.00 1.904,557.50
Indian 10,659,565.16 8,762,751.24
Legislative, executive and judicial- 21,305,583.29 21,891,718.08
Military Academy 406,535.08 464,261.66
Navy 25,327,126.72 29,416,245.31
Pension 151,581,570.00 141,381.570.00
Post-office 87,236,599.55 89,545,997.86
River and Harbor 11,643,180.00
Sundry civil 34,253,775,55 46.568,160.40
Totals $378,767,044.42 $373,811,552.15
Deficiencies 11,811,004.06 9,825,374.82
Totals $390,578,048.48 $383,636,896.97
Miscellaneous 577,956,55 297,667.37
Total regular annual ap-
propriations $391,156,005.03 $383,934,564.34
Permanent annual appropriations. 101,074,680.00 113,073,956.32
Grand total regular & perma-
nent annual appropriations • • $492,230,685.03 $497,008,520.66
Total $989,239,205.69
$5,902,
77,070,
2,020,
11,021,
7,518,
9.447,
28,556,
975,
98.005,
138.360
172.574,
3,000,
57,846,
040.00
300.88
100.69
740.00
192.00
961.40
913.22
966.84
140.94
700.00
998.75
000.00
,911.34
$612,300,966.06
26,801,843.93
$639,102,809.99
1,000,000.00
$640,102,809.99
141.471,820.00
$781,574,629.99
STATEMENT OF EDWARD ATKINSON ON COST OF WAR
AND WARFARE— THE PENALTY INCURRED IN EIGHT
FISCAL YEARS ENDING JUNE 30, 1898, TO JUNE
30, 1905, INCLUSIVE, $1,200,000,000.
During the twenty years preceding the Spanish War covering
the fiscal years ending June 30, 1878, to June 30, 1897, under five
administrations — three Republican and two Democratic — the cost
of the Government of the United States for the support of the Civil
and Judicial service, for the support of the Army, and for the
support of the Navy, including the construction of the "new navy"
so-called, varied but a slight fraction over two dollars and a half
($2.50) per head of the population in each year. The revenue de-
rived from liquors and tobacco, domestic and foreign, also averaged
two dollars and a half ($2.50) per head and met those charges. The
cost of pensions and interest on the public debt per head also varied
but a fraction over two dollars and a half ($2.50) each year. The
cost of interest and pensions is now one dollar and ninety cents
($1.90) per head and is steadily diminishing. The total cost of
supporting the Government of the United States during the twenty
years of peace, order and industrial progress, was five dollars ($5.00)
per head of the population.
The cost of supporting the Government for the eight fiscal years
ending June 30, 1882, to June 30, 1889, inclusive, under the sane,
safe and prudent administrations of Presidents Arthur and Cleve-
land (first term) including a part of the cost of the "new navy"
begun under President Cleveland, was four dollars and a half
($4.50) per head of the population.
At this standard the rate would now be four dollars ($4.00),
but since a somewhat larger Army and Navy are now said to be
needed purely for defensive purposes and for home service, the sum
gained by the reduction in pensions and interest expended on Army
and Navy would maintain the rate per head at four dollars and a
half ($4.50).
The taxation required for the cost of sustaining the Government
of the United States economically administered may be established
at the standard of four dollars and a half ($4.50) per head.
During the eight years of war and warfare under Presidents Mc-
Kinley and Roosevelt the cost of the Government has been two dol-
lars ($2.00) per head per year in excess of what it would have
been at the rate of the previous twenty years, and two dollars and
a half ($2.50) per head on the average per year in excess of what
it would have been at the standard of four dollars and a half
($4.50) per head.
The excess of expenditure on War and Warfare
over 1878 to 1897, during the eight years named
has been over $1,200,000,000
The excess of expenditure on War and Warfare over
the standard $4.50 per head during the eight
years named, has been over 1,500,000,000
Cost of War and Warfare. 89
WHO PAYS THIS TAX?-THE CONSUMER OF FOOD,
CLOTHING AND SHELTER.
A small part of the taxes are derived from duties on the import
of articles of luxury and voluntary use; the greater part of the
taxes collected under the Internal Eevenue Act and under the tariff
are imposed upon articles of common consumption by the whole
body of consumers. They are imposed on coal, iron, steel, copper,
lumber, sugar, beef, potatoes, hay, leather, fish, oats, oatmeal and
other of the necessaries and comforts of life. In' addition to the
taxes on these articles of necessary consumption which the people
pay and which the Government receives, a heavy additional tax is
imposed through the duties on imports which the consumers pay,
but which the Government does not receive. This tax imposed for
the declared purpose of "protection with incidental revenue" in-
creases the cost of a large portion of the necessary articles of con-
sumption, both domestic and foreign. It is collected indirectly
by the owners and managers of the works in which are manufac-
tured oil, steel, sugar, tobacco, matches, or in which beef and pork
are packed, or crude timber converted into lumber. These taxes
are also collected indirectly by the owners of the ore deposits, of
the timber land, of the borax deposits, of the "hoofed locusts" (as
the Territorial sheep are called), of the fishing smacks on the sea-
board, and the like. Under this act they have been and are now
enabled to put high prices on their products which are sold for home
consumption, and to sell for export to foreign countries at much
lower prices.
It now becomes fit to measure these taxes. What does war and
warfare, imperialism, over-sea expansion and protection with inci-
dental revenue, cost each person or each family, and how is this
penalty distributed? Eelative cost in figures and appropriations
to each person.
In excess of the standard of four dollars and a half
($4.50) per head, each person has paid $20
Penalty paid by the head of each family of five or by
each two persons who sustain themselves and
three others 100
Had these sums not been taken from consumers for
the purposes of War and Warfare they might have
been deposited in a savings bank at an average
of 4 per cent, interest year by year for eight years.
The saving would have been four years' interest
at 4 per cent 16
The consumption of the people of the North and West
is much larger than that of the people of the
South, where eight millions (8,000,000) negroes of
low purchasing power constitute so large a part
of the population.
Additional penalty paid by the consumers in the
North and West added on an estimate of 20 per
cent, in excess in consumption 20
90 Cost of War and Warfare.
A very low estimate of the tax which the people have
paid, but which the Government has not received,
secured by the privileged classes under the tariff
for "protection with incidental revenue," would be 40
At these estimates the total penalty paid by each
group of five persons during eight years of War
and Warfare up to June 30, 1905, by actual ex-
penditures and appropriations in excess of the
standard of four dollars and a half ($4.50) per
head has been 176
The head of a family, consisting of five persons, liv-
ing in the North or West, in receipt of an annual
income of from one thousand to fifteen hundred
dollars ($1,000 to $1,500), with expenditures
corresponding to the average expenditures of
artisans, craftsmen, bookkeepers, clerks and others,
may reasonably compute his share of this assess-
ment of taxes, direct and indirect, under the fore-
going conditions for the past eight years at 200
The expenditures of the United States in the fiscal
years ending June 30, 1862, to June 30, 1869,
eight years of Civil War and Reconstruction, were
$4,900,000,000, at high prices in depreciated
paper money for all supplies. At a very moderate
reduction for depreciation the cost of eight years
of Civil War and Reconstruction on a gold basis
was not over 4,200,000,000
The expenditures in eight years of War, Warfare
and Over-sea Expansion under McKinley and
Roosevelt, to June 30, 1905, will have been over. . 4,200,000,000
From the Annual Report of the Secretary of the
Treasury for the fiscal year ending June 30,
1903, and the official statement of the expendi-
tures of the last fiscal year and the appropria-
tions for the present year, it proves that the ex-
penditures in the War and Navy Departments
under the administration of Presidents McKinley
and Roosevelt for eight years of War and War-
fare and Over-sea Expansion will have been six-
teen hundred and twenty-five million 1,625,000,000
The expenditures under the sane and safe admin-
istration of Presidents Arthur and Cleveland, 1882
to 1889, for Army and Navy fully developed for
purposes of national defense and for beginning
the construction of the "new navy," amounted
to four hundred and sixty-two million 462,000,000
The difference of eleven hundred and sixty-three
($1,163,000,000) constitutes the greater part of
the excessive expenditures of War and Warfare
which are tending to increase rather than dimin-
ish 1,163,000,000
Speech of Hon. Gilbert M. Hitchcock. 91
The revenue to pay the penalty measured as above has been
derived wholly from taxes on the necessaries and comforts of life
and on the crude materials of foreign origin which are necessary
in the process of domestic industry.
All the facts and figures which are given in this condensed state-
ment have been derived from the official reports of the Govern-
ment and have all been justified and proved. The citations from
the reports and the detailed figures of each year will be found
in my book about to be published by Houghton, Mifflin & Com-
pany, Boston, entitled "Facts and Figures," and in my treatises
of the Cost of War and Warfare which are in nearly every pub-
lic library in the United States. Edward Atkinson, LL.D.
Brookline, Mass., U. S. A., July, 1904.
SPEECH OF HON. GILBERT M. HITCHCOCK, OF NE-
BRASKA, IN THE HOUSE OF REPRESENTA-
TIVES, SATURDAY, FEBRUARY 20, 1904.
We have before us a bill appropriating over $96,000,000 for the
Navy, and in addition authorizing an increase in naval plans which
involves $29,000,000 more to be appropriated at a future time. It
seems to me that a man may favor a navy, may favor its reasonable
development, and still denounce this gigantic and excessive appro-
priation.
It is now more than one hundred years ago that our forefathers
established this Eepublic with the idea that we could improve not
only on monarchical forms but on monarchical methods. Ours was
to be a government of consent, a government to promote peace, es-
tablish justice, and to insure the blessings of liberty to the people.
It was to permit them to work out in their own way the natural
development of their interests, only possible in times of peace, free
from the exactions of exorbitant taxation.
And so, Mr. Chairman, we continued in our course for over a cen-
tury, a nation of peace, in marked contrast to the war-cursed coun-
tries of Europe and the tax-burdened monarchies of the Old World.
Suddenly, within the last few years, the rage for militarism and em-
pire, for so-called expansion, has come upon us, and we are beset
with that old spirit of conquest and war that has dominated every
monarchy. I say it without danger of contradiction from any in-
telligent source that our Eepublic, in its use of its national revenues,
is more wasteful and extravagant than any empire in the world.
This Eepublic, founded on the idea of consent, founded on the
idea of a government by a people, is becoming the imitator of mon-
archies. Our forefathers sought to give the people relief from tax-
ation, but our Eepublic is becoming the most tax-burdened nation
of the world. We were formerly taught that as little money as pos-
92 Speech of Hon. Gilbert M. Hitchcock.
sible should be taken each year by the Government from the income
of the business men and from the wages of the laborers. Now we are
told that patriotism must be measured by appropriations.
Whether we judge our present national expenditure by our former
history or by the national expenditure of other nations, we appear
in a most unenviable position.
The great Eussian Empire, with two and a half times the area
of the United States and nearly twice the population, is the only
nation in the world that regularly raises as large an amount of
money by national taxation as the United States. The total annual
revenue of Eussia is about $1,100,000,000. But from that must be
deducted nearly $400,000,000 not raised by taxation, but flowing
from state monopolies and government property, so that the actual
amount which Eussia raises by taxation is only about $700,000,000
a year. In proportion to the size and population that is a smaller
sum than the United States annually raises by taxation from its
citizens.
We can hardly compare our annual expenditures with those of
Great Britain at the present time, because Great Britain has only
just emerged from a most expensive and destructive war. In times
of peace Great Britain's national expenditures are less than those
of the United States. Nor will it do to explain this by saying that
Great Britain has less population than the United States, because
the national expenditures of Great Britain are the expenditures for
an empire employing a navy three or four times as large as ours
and an army exceeding ours in at least that proportion. While the
United Kingdom is smaller in area and less in population than the
United States, it must be remembered that it is the seat of power
and expenditure for ten times the population and forty times the
area of the United Kingdom. It must also be remembered that
Great Britain as the result of countless wars in the past, has a
national debt whose interest charge is $100,000,000 a year greater
than the interest charge with which the United States is burdened.
If we compare our national revenues and expenditures with those
of France, we find that each nation has total revenues of about
$700,000,000 a year. Each nation derives nearly $200,000,000 a
year of this revenue from sources which are not due to taxation.
In the United States the chief of these is the Post-office receipts,
land sales, and other miscellaneous income of that sort. In France
the following items of revenue are not the production of taxation :
France's revenue not the product of taxation.
Francs.
From State monopolies 734,836,000
From public domains 28,932,000
From public forests 32,368,000
Miscellaneous revenues from fees, etc 63,184,000
Eecettes d'ordre 143,855,000
Total 1,003,175,000
Speech of Hon. Gilbert M. Hitchcock. 93
Deducting above revenues from total receipts we have the fol-
lowing showing of net amount derived from national taxation in
France :
Gross revenues of France.
Francs.
Gross receipts 3,675,661,000
Sundry receipts not taxes 1,003,175,000
Net amount from taxation 2,672,486,000
Equal to $534,497,200.
Nor does the above showing correctly represent the amount of
"national" taxation in France, for the reason that the French
Government, unlike the Government of the United States, ex-
pends a part of the national revenue for local purposes. In this
way, of the above $534,000,000, more than $50,000,000 are expended
for public schools and other purely local matters which are paid
for in America by local taxation. This brings the French total
of national taxation down to $483,000,000 a year, which is mate-
rially less than that of the United States. And yet France main-
tains a standing army of over half a million men and a navy larger
than ours. France also pays five times as much interest on her
public debt every year as we do. This one item alone costs France
$120,000,000 a year more than it costs the United States. She has
an enormous inheritance of debt from her bloody centuries of war
and revolution.
But perhaps the most instructive comparison is the comparison
between the expenditures of the United States with those of Ger-
many, that Empire designated by the gentleman who preceded me as
a land/ of "blood and iron." We might expect to find in this Em-
pire of 60,000,000 people, ruled by the iron hand of an ambitious
and dominating Kaiser, maintaining a standing army of 600,000
men and a navy ranking third among the naval powers of the world
— we might expect to find here, I say, a burden of national tax
heavier than in the American Eepublic. But the fact is otherwise.
Our national taxation exceeds the national taxation of the Ger-
man Empire by more than $200,000,000 a year. ' The German
Kaiser, with all his ambition and all his lust for empire, inflicts
on the German people less taxation than the Government of the
United States upon its citizens. Let us look at the figures. The
following is a statement which shows the total income of the Ger-
man Empire for the year 1903. With the classification of those
items not due to taxation and those items of revenue not used for
national purposes, the table is as follows:
94 Speech of Hon. Gilbert M. Hitchcock.
German Government income.
(Expressed in marks.)
Gross income, Items not for national
all sources. taxation. purposes.
Post and telegraph 456,220,100 456,220,100
Railroads 87,879,600 87,879,600
State banks 15,866,200 15,866,200
Administration bureaus 41,658,300
Disabled pension funds 49,003,800
States matricular contribution . . . 565,856,200 565,856,200
Customs and internal revenue. . . . 810,252,900
Stamp duties 93,028,000
Public printing 7,906,000 7,906,000
Sundry other sources 17,406,600
Total ordinary receipts 2,145,077,700 567,871,900 565,856,200
Extraordinary 199,848,800
Grand total 2,344,926,500
Less items not raised by tax 567,871,900
Balance 1,777,054,600
Less assignments to States 565,856,200
Net national taxation *1,211,198,400
*Equal to $302,799,600.
The reason for deducting the items of income from post and
telegraph, railways, State banks, and public printing from the gross
income is manifest. These items are not taxation. The reason for
deducting the items entitled "Matricular contribution of the
States" perhaps demands an explanation. The German Empire
is composed of a number of States. Under the law of 1879 it was
decreed that certain national revenues drawn from all parts of the
Empire should be assigned back to the States in proportion to their
population. These revenues, as above shown, now amount to 565,-
856,200 marks per year, and being assigned back to the States and
used by them for local taxation, they must of course be deducted
from the national expenditures, as they are not a part of the
national but are purely local expenditures.
Without going into detail in the United States, the figures of
which are very much more familiar to us, it may be said that our
total gross income is $694,621,117. Of this amount the receipts
from the post-office, land sales, and other sources should not be
counted in national taxation. Deducting these items as we have
deducted these items from the German revenues, and converting
the whole into American money, we have the following comparative
table, showing taxation in Germany and the United States:
Germany. United States.
Total gross income $586,231,625 $694,621,117
Income not national taxation 283,432,025 179,331,411
Amount raised by taxation.. $302,799,600 $515,289,706
Speech of Hon. Gilbert M. Hitchcock. 95
It thus appears, as I have stated above, that our national taxa-
tion exceeds the national taxation of the German Empire by $212,-
000,000 a year. Nor can it be said that this is due to the fact that
the American Republic has 80,000,000 population, while the Ger-
man Empire has less than 60,000,000, because the per capita of
the taxation is greater in the United States than it is in Ger-
many, and if we equalize the populations we would still be tax-
ing ourselves $85,000,000 a year more than the Germans tax them-
selves.
Now, what becomes of the vast amount of money which we raise
by national taxation in the United States ?
More than two dollars out of every five that we now raise in na-
tional taxation go for purposes of war — for our Army and our
Navy. This time of profound peace is a time of enormous taxation.
The gentleman who just preceded me, and who pleads so elo-
quently for the contractors who build our ships and furnish the
armor, stated that the wealth of this country is so enormous that
our national expenditures are insignificant. But he forgets, Mr.
Chairman, that the wealth of this country does not contribute these
millions of dollars which go to make up this enormous amount of
money that we gather in from the people every year. The wealth
of the country does not pay that money. We do not tax wealth;
in raising our national revenues we merely tax consumption, and,
plainly speaking, such taxation is practically nothing but a per
capita tax on the population of the United States. The head of
every family pays that tax not only for himself and his wife, but
for his children. The daily living expenses of every man, woman
and child are increased by the manner in which we raise this
money. Our system of indirect taxation increases the cost of food,
clothing, and most of the other necessaries of life. If the wealth of
the country were contributing to these enormous expenditures, which
go into armor plate and war ships, I think we would hear more
voices raised here in this House for economy and limited expendi-
ture. The fact is that the money is taken from the masses of the peo-
ple, regardless of their ability to pay, and is turned over to armor
trusts, beef trusts, railroads, and shipbuilding trusts. These and
other trusts and great corporations are the ones who get the great
chunks out of these gigantic annual appropriations, and we all
know it.
The growth of these war expenditures has been simply prodigious
in twenty years.
Do gentlemen ever stop to think that we may deplete if not ex-
haust the resources of a nation in the time of peace by excessive
preparations for war. We have heard of the man who, in preparing
to leap a ditch, took such a long running start that he used up his
strength before he reached the ditch and fell into it. Nations have
done the same thing with war preparations.
The following table shows the strength of the navies of the four
great countries of the world, both present and prospective, revealing
the fact that we are making an increase of our Navy under present
q6 Speech of Hon. Theodore E. Burton.
laws equal to the increase being made by Germany and France
combined :
Strength of navies, present and prospective.
Tonnage in Total future
Country. Men. Tonnage, construction, tonnage.
Great Britain 114,430 1,516,000 351,000 1,867,000
Germany 37,900 388,000 1 18,000 506,000
France 44,312 576,000 180,000 756,000
United States 31,000 295,000 322,000 616,000
The following table of naval expenditures for four years of four
great countries of the world shows how rapidly our expenditures
have increased, compared with those of other nations, and the mad
race is only just begun :
Naval expenditures.
1900 1901 1902 1903
Great Britain $130,000,000 $146,600,000 $155,000,000 $155,850,000
France 74,590,000 73,10°,000 62,419,000 68,000,000
Germany 42,000,000 52,000,000 54,259,500 56,000,000
United States ... . 55,953,078 60,506,978 67,803,128 82,613,034
Amount proposed by new bill, $96,338,000.
SPEECH OF HON. THEODORE E. BURTON, OF OHIO
(REPUBLICAN), IN THE HOUSE OF REPRESENTA-
TIVES, TUESDAY, MARCH 15, 1904.
Mr. Burton said:
Mr. Chairman: It is my desire to address the House upon the
increase of national expenditures. It will be profitable to examine
into the history and causes of this increase, to investigate whether
any dangerous tendencies arise from it, and to attempt to point out
a proper policy to be pursued. The average annual expenditures
of the United States Government in the last decade of the eighteenth
century were $6,835,000. They were greatly increased by the war
of 1812, in the decade from 1811 to 1820, but the following decade
showed a decrease, and the annual average in the decade ending in
1860 was only $60,000,000. This was followed by the enormous
expense of the Civil War, and an average annual expenditure ap-
proaching ten times as much, or amounting to $530,000,000.
The closing decade of the last century showed an annual average
of $407,000,000. If we deduct from the expenditures of the first
decade of the Republic, interest charges, which were large because
of the assumption of State debts and other expenses growing out
of the War for Independence, the annual average in the last decade
of the nineteenth century was very nearly 100 times as great as in
the decade from 1791 to 1800, and if we take the last two years for
Speech of Hon. Theodore E. Burton. 97
comparison — 1902 and 1903 — we find them more than 100 times
as great.
There may be said to be two general causes for the increase of
national expenditures. One works automatically without the inter-
position of the legislature. It arises from the necessary enlargement
of existing public functions due to the growth of population, to the
expansion of territory, and to the higher range of salaries, which
is correlative with the diminishing purchasing power of money, and
contemporaneous with improved standards of living.
The second may be said to be under the control of the legislature.
Chief among those of this class is the ever-swelling demand for
the enlargement of military establishments, the army and the navy.
It is to be noticed that this increase exists contemporaneously with
a general condition of peace, interrupted by occasional war. The
greater cost is due in some degree to improved varieties of arma-
ment and equipment employed in war, and in a measure to different
political ideals. It can not be said that expenses for the army and
navy are entirely under the control of the political power, though
in a large degree they are. They depend in part upon the position
of a state among nations, but more upon the general policy which
the dominant influences in each government may choose to adopt.
In no country has the increase in military expenses been so
marked as in our own. In the year 1880 the total expenses for the
Army and Navy were $42,000,000 — twenty-eight millions for the
Army and fourteen millions for the Navy. In 1902 more than
five times as much as in 1880, and under the appropriation bill
passed for 1905 it will cost more than seven times as much. The
increase between 1902 and 1905 will be more than twice as much
as the total cost in 1880.
THE TARIFF AND TRUSTS.
EXPORT PRICES OF THE TRUSTS— HOW THE DINGLEY TARIFF ENABLES
TRUSTS TO CHARGE AMERICANS MORE FOR AMERICAN
GOODS THAN FOREIGNERS ARE CHARGED. PITTS-
BURG STEEL RAILS SOLD IN JAPAN FOR #18
OR $22 A TON; FOR SAME RAILS
AMERICAN RAILROADS HAVE TO
PAY $28 A TON.
During the year ending June 30, 1904, the sale of American
manufactured products to foreigners amounted to $452,000,000,
of which fully 85 per cent., according to the estimates of well in-
formed exporters, was sold at cheaper prices than are charged for
precisely the same goods when sold to Americans. The average
price of these goods in the foreign market is 20 per cent, less than
the selling price in the home market. On some goods, such as
paints and varnishes, the difference between the price to foreigners
and to Americans is only 5 per cent., but on agricultural imple-
ments, tools, machines and hardware the difference in the price to
the foreigner and to the American varies from 10 to 50 per cent.
On wire, cartridges, playing cards, etc., the difference is more than
100 per cent., and on such articles as wire rope and borax the dif-
ference exceeds 200 per cent. Were there nothing else to condemn
the Republican policy of high tariff taxes, this one fact ought to
be sufficient to cause the American people to repudiate it, for
surely nothing can be more unjust than for the American Govern-
ment to tax its own people to the end that American steel rails,
plows, shoes and. other articles of prime necessity may be sold
cheaper to the people of Japan, Europe and foreign countries gen-
erally than they are sold at home to Americans. It is absurd to
speak of "infant industries" like the steel trust, which is able to
compete with the so-called pauper labor of foreign countries and
which makes enough profit on its export sales, even at prices far
below its domestic prices, to enable it to pay dividends upon mil-
lions of dollars of watered capital. During the first thirty-three
months of its existence the steel trust made net profits of
$327,000,000, an average of $119,000,000 a year, or $10,000,000 a
month, $300,000 a day and $30,000 an hour for a day of ten hours.
But for the unjust tariff on steel products there would have been no
temptation to manufacturers and trust promoters to organize this
gigantic monopoly, with its thousand million dollars of watered
stock. When the voters of America, the farmers, mechanics, clerks
and professional men, realize the extent of the difference between
export and home prices, they will speedily withdraw "protection"
The Tariff and Trusts. 99
from such "infants" as the steel and other giant trusts of this
country. As long ago as 1890 the attention of the American people
was called to this injustice of the Republican tariff policy which
permits trusts to sell goods cheaper to foreigners than to Ameri-
cans. In a pamphlet entitled "Protection's Home Market," pub-
lished in 1890 by the Reform Club, we find quoted the domestic
and export prices of a number of American goods. The domestic
prices usually exceed the foreign prices by 10 to 25 per cent., and
in some cases by 100 per cent. Here are a few extracts from the
table :
Articles Domestic. Foreign
Price. Price.
Cultivators $11.00 $8.40
Plows 14.00 12.60
Axes, per dozen 8.25 7.20
Kettles 1.40 .85
Yvire nails, per hundred pounds 2.25 1.35
Table knives, per gross 15.00 12.00
Horse-nails, per pound .17 .14
Barbed wire, per hundred pounds 3.00 2.00
Rivets, per hundred pounds 10.00 5.55
Typewriters 100.00 60.00
Sewing machines, fine 27.50 20.75
Sewing machines, medium 22.00 17.50
Sewing machines, cheap 18.00 12.00
THE TRUSTS SEEK TO CONCEAL FROM THE AMERICAN
PEOPLE THE PRICES AT WHICH TRUST-MADE GOODS ARE
SOLD TO FOREIGNERS.
To obtain foreign trade it is, of course, . necessary for the trusts
to advertise their export prices in journals with strictly foreign
circulation. So unwilling are the trusts to have this feature of
their business known to the public that they use every means to
prevent their export trade journals, which circulate only in
foreign countries, containing their lists of export prices,
from falling into the hands of American buyers. In 1902
the Democratic Congressional Committee offered a reward of $100
for one of these export price journals, and endeavored to insert an
advertisement to this effect in several prominent New York papers.
Fearing to offend the trusts, these papers refused to publish the ad-
vertisement. The New York World, however, published the offer,
and the committee at last succeeded in obtaining several copies
of export journals. In the present year the National Democratic
Committee has not only procured several copies of export jour-
nals published in America for exclusive circulation abroad, but
it has also employed an expert familiar with all the ins and outs
of the export business who has visited the selling offices of exporting
manufacturers and obtained from them, in their own handwriting,
many of the export prices given below. The list of these prices
could be extended almost indefinitely if space permitted. The
specimens given, however, are amply sufficient to illustrate the
IOO
The Tariff and Trusts.
manner in which the Eepublican tariff system enables the trusts
to charge Americans higher prices for their goods than they, charge
foreigners. The first list is from the American Export Monthly
of June 18, 1904, published by Arkell & Douglas, 5 to 11 Broad-
way, New York City, N. Y. The Douglas of this firm is the Hon.
William Harris Douglas, Republican Representative from the Fif-
teenth Congressional District of New York.
COMPARISON OF EXPORT AND HOME PRICES.
FIRST TABLE.
Showing differences in discounts from price lists for foreign and home
consumers, and the per cent, of difference between export and home prices;
many varieties and sizes are often included under one discount.
Note.— Where several discounts are quoted, the first figure is the dis-
count from list price, the second figure is the discount from the remainder,
the third figure is the discount from that remainder, and so on. Thus in
the line for "Augers" below, the home discount is given as "50, 10, 5."—
If the list price was $1 these discounts would mean 50 per cent, off from
$1 (50c), less 10 per cent, of remainder (5c), less 5 per cent, of that re-
mainder (2>ic), leaving 42%c. as net price to buyer.
Firm or Corporation. count fr<
Articles— Description. List.
i
Russell & Erwin Mfg. Co.
Auger bits, Swan's Jennings 60
Locks, door 50
Bells, cow 50, 15
Snell Mfg. Co.
Augers 75
John S. Fray & Co.
Braces 70
Enterprise Mfg. Co.
Coffee and spice mills 40, 10
A. M. Hayden & Russell, Burdsall
and Ward Bolt and Nut Co.
Bolts, tire 80, 10
Bolts, carriage 80, 10
Bridgeport Chain Co.
Chains, halter 70, 10, 7
Covert Mfg. Co.
Halters, jute 50, 10, 10
Halters, sisal 40, 10
Handles, fork, rake, hoe and shovel.. 50
Beamis & Call Hardware Co.
Pipe wrenches, adjustable "S" 50
Pike Mfg. Co.
Scythe and oil stones 50
Henry Disston's Sons.
Saws, hand 40 & 5
Saws, crosscut 60 & 10
Stanley Rule & Level Co.
Rules, boxwood 50, 10, 10, 10
Home Dis-
count from
List.
t
Per
Cent. Dif-
ference.
50
40
50
25
20
19
50, 10, 5
72
60
33
25 to 30
30
72,10
75
28
39
60, 10
44
40, 5, 5
30
45
33
30
10
40
20
33
50
25
45
43,
53
60 to 60.10
35
The Tariff and Trusts. id:
SECOND TABLE.
Showing difference between export and home prices on sample specified
articles.
Finn or Corporation. Export Home Differ-
Articles, Description and Quantity. Price. Price. ence.
Russell & Erwin Mfg. Co.
Auger bits, Swan's Jenning No. 3, dozen $1.60 $2.00 25%
Snell Mfg. Co.
Auger bits, solid cast steel car No. 7, dozen 2.70 3.60 33%
A. & M. Haydon.
Bolts, tire, 1-in., per hundred 27 .30 10%
Bolts, carriage, 2-in., per hundred 98 1.35 34%
John S. Fray & Co.
Braces, Spofford No. 7, per dozen 4.80 6.40 30%
Braces, Woodhead No. 117, per dozen 10.80 14.40 30%
Braces, ratchet No. 141, per dozen 12.60 16.80 30%
Enterprise Mfg. Co.
Coffee and spice mills, wall, each .67 .88 30%
Coffee and spice mills, counter, No. 4, each 4.32 5.60 30%
Coffee and spice mills, counter, No. 212, each.... 16.20 21.00 30%
Bridgeport Chain Co.
Chains, halter Brown, No. 4-6 ft., doz 2.00 2.80 40%
Beamis & Call Hdw. Co.
Wrenches, "S,"adj. pipe, 8 inches, dozen 7.50 9.00 20%
Wrenches, "S," adj. pipe, 8 inches, dozen .... 4.50 5.55 22%
Wrenches, Combination, 10 inches, dozen 13.75 14.25 6%
List from Exporters and Importers' Journal of June 18, 1904,
published by Henry W. Pea-body, 17 State St., N"ew York City, N". Y.
FIRST TABLE.
Showing differences in discounts.
Firm or Corporation. SSKfS?
Articles-Description. List
Henry Disston's Sons.
Levels and plumbs 70, 10, 10, 10
Saws, band 60, 10, 10
Saws, hand 45, 5
Saws, compass 45, 5
Shears 50
Squares, try 70, 10, 10, 10
Andrew B. Hendrix & Co.
Birdcages, brass 50 40, 10 8
Enterprise Mfg. Co.
Fruit Seeders, Nos. 36 and 38 40 30 16
Collins & Co.
Hinges, Japanned spring 25, 20, 10 25, 10 24
Hinges, Acme, brass 40, 10 30 30
Springs, door, Gem coil .' . . . 35 30 16
Covert Mfg. Co.
Harness snaps 50 35 42
Breast chains 50, 10 40 30
Cleveland Twist Drill Co.
Bit stocks and drills 65, 10 60, 10 & 5 8
Boston & Lockport Block Co.
Tackle Blocks 75 70, 10 8
Charles Parker Co.
Vises 25, 10, 5 25 17
Miller's Falls Co.
Wrenches, Coes 40, 10, 5, 5, 7 40, 5, 5, 7 13
Home Dis-
Per
count from
Cent. Dif-
List.
ference.
70
36
60
23
25
43
25
43
30
40
70
36
102 The Tariff and Trusts.
SECOND TABLE.
' 4
Showing samples of differences between Export and Home Prices
in specific articles.
a_^. , Firm or Corporation. Export Home Differ-
Articles, Description and Quantity. Price. Price. ence.
Andrew B. Hendrix Co.
Bird cages, No. 301, fancy, with R. mats, doz $15.00 $16.20 11%
Henry Disston's Sons.
Hardware, saws, band, 3 to 14, per ft 1.00 1.22 22%
Hardware, saws, band, 2 to 3, per ft 75 .92 24%
Hardware, saws, hand, 18 in., per dozen 6.00 8.36 43%
Hardware, saws, hand, Acme, 16 in., per dozen. ... 11.51 16.50 43%
Hardware, saws, hand, No. 7, 14 in., per dozen. . . . 6.37 8.40 16%
Hardware, saws, compass, No. 2, 16 in., per doz. . 2.61 3.65 43%
Hardware, saws, back, No. 4, 12 in., per dozen 6.00 8.36 43%
Hardware, saws, butcher, No. 7, 18 in., per dozen 7.00 8.70 24%
Hardware, saws, wood, No. 69, per dozen 6.00 7.80 30%
Hardware, Trysquare, No. 1, 5 in., per dozen 1.06 1.43 40%
Hardware, trowels, No. 12y per dozen 10.00 12.95 29%
Hardware, bunghole borers No. 2, each 1.00 1.25 25%
Hardware, levels and plumbs, No. 8, per dozen. . . 4.60 6.30 37%
Smith & Egge Mfg. Co.
Hardware, shears, Eureka No. 2 10.00 14.00 40%
Ames Mfg. Co.
Hardware, shovels, spades, D. H., sq. pt., doz 4.68 5.10 9%
Hardware, shovels, spades, R. D., sq. pt., doz 4.95 5.40 9%
Hardware, shovels, spades, Long H., sq. pt., doz.. 4.81 5.25 9%
Columbian Hardware Co.
Hardware, hinges, Acme, 2 I., No. 2, dozen pairs. . .75 .98 17%
Hardware, hinges, Acme, W. B., No. 2, doz. pairs. 1.08 1.40 30%
Hardware, hinges, door springs, Gem coil, gross. . 7.80 8.40 7%
Boston & Lockport Block Co.
Hardware, tackle block, 14 in., single, each 1.75 2.00 11%
Hardware, tackle block, 14 in., double, each 2.63 2.83 8%
Collins & Co.
Hardware, wrenches, Coes, 10 in., per dozen.... 5.46 5.86 7%
L. S. Starrett Co.
Hardware, hack-saw blades, 9 in., per dozen 48 .53 10%
Enterprise Mfg. Co.
Fruit presses, No. 3, each 1.80 2.40 33%
Raisin Seeder, No. 36, per dozen 7.20 9.00 25%
Covert Mfg. Co.
Hardware, snaps, har. Derby, gross 3.20 4.25 30%
Hardware, snaps, har. Jockey, gross 2.39 3.00 25%
Hardware, snaps, har. Trojan, gross 1.84 2.63 42%
Hardware, snaps, har. Yankee, gross 2.40 3.12 30%
Hardware, jacks, carriage, per dozen 5.00 6.88 36%
Hardware, jacks, wagon, per dozen 6.40 8.80 33%
Hardware, jacks, automobile, per dozen 7.60 10.45 33%
Hardware, jacks, automobile, screw, per dozen. . 18.00 23.95 33%
Sampson Cordage Works.
Hardware, sash cord, No. 7, per pound 24 .33 34%
Hardware, sash cord, Mass., per pound 20 .28 40%
M. S. Benedict Mfg. Co.
Hardware, teaspoons, gross 1.00 1.10 10%
Hardware, dessert spoons, gross 1.50 1.65 10%
Hardware, table spoons, gross 2.00 2.20 10%
Hardware, forks, gross 2.30 2.53 10%
Cleveland Twist Drill Co.
Hardware, twist drill, bit stock, 1 in., per dozen.. 8.86 10.13 14%
Hardware, twist drill, taper sh., 1 in., each 94 1.08 12%
The Tariff and Trusts. 103
Firm or Corporation. Export Home Differ-
Articles, Description and Quantity. Price. Price. ence.
Charles Parker Co.
Hardware, vises, No. 5, X, each 16.40 19.20 25%
Hardware, coffee mills, box, No. 401, per dozen. 1.44 1.80 25%
Hardware, coffee mills, side, No. 90, per dozen. . . 2.88 3.60 25%
Columbian Hardware Co.
Hardware, vises, solid box, No. 90, each 6.40 8.00 25%
Hardware, vises, parallel, 5 in., each 2.25 3.00 30%
Malin & Company.
Hardware, wire ann. tin, 1-lb. spools, per dozen.. .70 .80 14%
Hardware, wire ann. tin, 1-lb. spools, per dozen.. .90 .98 9%
Hardware, wire, barb pr. hd., lbs 2.20 2.70 23%
Hardware, wire, black fencing, p. hd., lbs 1.25 2.00 60%
Geo. W. Korn Razor Mfg. Co.
Razors, safety, each 1.08 1.20 11%
List from the Export World and Herald, of July 5, 1904, pub-
lished by the American Trading Co., Broad Exchange Building,
New York City, New York.
FIRST TABLE.
Firm or Corporation. S^™
Articles-Description. List
E. C. Atkins & Co., Indian-
apolis, Ind.
Hardware, saw, circular 50, 10
Hardware, saw, band 50, 10, 5
Hardware, saw, crosscut 35, 5
Hardware, saw, hand 50, 10
Hardware, saw, back 50
SECOND TABLE.
Firm or Corporation. Export Home Differ-
Articles, Description and Quantity. Price. Price. ence.
J.'S. Barron & Co.
Freezers, ice cream, Alaska, 4-qt., each $1.82 $2.40 33%
Washboards, single zinc, per dozen 1.50 2.40 60%
Washboards, single zinc, per dozen 2.25 2.65 17%
Washboards, solid zinc, per dozen 2.40i 3.00 25%
Henry Chesney Hammer Co.
Hammers, farriers', No. 54, per dozen 4.44 4.80 9%
Hammers, machinists', No. 91, per dozen 7.00 8.51 20%
Knowles Scale Works.
Scales, square platform with wh., each 14.97 17.50 17%
EXPORT PRICES OBTAINED BY AN EXPERT.
Tfce following list of export and home prices of implements,
tools, utensils, and other wares and goods, was obtained for the
Democratic National Committee by a man who has been connected
with exporting houses for more than twenty years. That he is
a man of honor and ability is vouched for to this Committee by
several prominent business men and leading citizens of New York.
Having for years bought goods for export to foreign countries,
he is personally acquainted with the selling agents in New York
of many of the manufacturers of this country, especially with those
who do a big export business.
Home Dis-
Per
count from
Cent. Dif
List.
ference.
50
11
50,10
6
16
33
40
33
40
20
104 The Tariff and Trusts,
This man personally called upon the New York agents of these
manufacturers, as he had often done before, and obtained their
catalogues and price lists. In nearly all cases the agents of the
manufacturers have marked the export prices or discounts on the
margins of their price lists. These catalogues and price lists are
in the possession of the Democratic Committee. While the ac-
curacy of these export prices may be challenged by Kepublican
politicians, it is not probable that they will be questioned by the
manufacturers whose names are mentioned in the list. The home
prices are, in every case, believed to be the lowest obtainable on quan-
tities similar to those on which export prices are quoted.
Nearly all of the following export prices were obtained in July,
1904, and were for goods to be exported to South Africa. In
nearly all cases the discounts for exports were given. In the first
part of this table the export and home prices of the different classes
of goods mentioned are compared by the differences between the
discounts. The second part of the table contains comparisons of
the export and home prices of certain specific articles.
FIRST TABLE.
Showing differences in discounts between Export and Home
Prices.
(Note — In these tables read the sign "@" as "and." Thus:
"25, 10 @ 5" should be read "25, 10 and 5.")
iLro„„*o«^,««~, Export Dis- Home Dis- Per
A^tr^&S,^ count from count from Cent. Dif-
Articles-Descnption. List List ference.
Collins & Co., Hartford, Conn. % % •
Adzes, axes, hatchets 10 net 11
Standard Axe Co., Ridgway, Pa.
Axes 10 net 1 1
Rumford Chemical Works,
Providence, R. I.
Baking Powder, Horsford's 10 @ 2 net 13
Miller's Falls Co., Miller's
Falls, Mass.
Braces, carpenters' 10 @ 5 net 17
John A. Gifford, New York, N. Y.
Carriage material 10 @ 5 net 17
Ames, Plow Co., Boston, Mass.
Agricultural implements.
Churn thermometer 40 @ 5 30 • 23
Churn cylinder 50 30 @ 5 23
Corn shelters, Prairie & Clinton.. 50 40 20
Corn shellers, Western 40 @ 5 35 14
Corn shellers, Eagle 40 @ 10 35 20
Grain mills, horse 40 33 11
Cultivators, Universal 30 20 @ 5 9
Cultivators, Harrow 40 @ 5 30 23
Cultivators, Knox 50 40 20
Fan mills, Grant's 45 30 @ 5 21
Fan mills, Boston 40 30 17
Hand cultivators, Universal, expan.. 40 30 17
The Tariff and Trusts.
;os
Manufacturers. ™£Jf™
Articles-Description. £st
Mathews, W. E.
Corn Planters, Billings & Boston
Seed 35
Horseshoes, Knox 40 @ 5
Garden reels 40
Miller's Falls Co., Miller's
Falls, Mass.
Hardware, miscellaneous.
Drill braces 25, 10 @ 5
Aug. bit stocks 50
14-in. ratchet drills 35
Breast drills, Nos. 10, 11 35
Drilling Mach., No. 3 35
Bench hooks 25 @ 5
Hacksaw blades, 10-in 30 @ 10
Hacksaw frames, No. 17 35
Butcher saw blades, No. 18 30 @ 10
Butcher saw frames, No. 18 35
Spirit levels, 26 to 30 inches 50
Tube scrapers 70
Vises 60, 10, 10 @ 5
Jack screws 60 @ 10
Collins & Company.
Hardware, hammers, sledges, crow-
bars and drills 10
Wrenches 60 @ 10
Ames Plow Co., Boston, Mass.
Hardware, store trucks 50
Platform trucks 40
Railroad trucks 30
Wheel jacks 45
Vandegrift Mfg. Co., Shelby-
ville, Indiana.
Hardware, screw wrenches 60
Keystone Mfg. Co., Buffalo, N. Y.
Hardware, ratchets 50
Tap wrenches 15
S. wrenches 50
Mark Mfg. Co., Evanston, III.
Hardware, pipe cutters 75, 10 @ 5
Pipe cutters, 3-wheel 80, 10 @ 10
Pipe cutters, 1 -wheel 60
Oilers and clamps 70
Links 80
Rowlocks 75
J as. F. McCoy Co., New York,
N. Y.
Hardware, Vulcan pipe wrenches. . . 60 @ 10
Buhl Malleable Co., Detroit,
Michigan.
Hardware, elevator arms 65
Seaman pump 25
Sprocket wheels 50 @ 10
Jaw clutch couplings 50
Mall, iron buckets 60
Acme steel buckets 40 @ 10
Iron pulleys 50
Wells Bros. Co., Greenfield,
Mass.
iCardware, mach. hand taps 70 @ 5
Home Dis-
Per
count from
Cent. Dif-
List.
ference.
25
17
33
21
33
11
25 @ 10
17
40
20
25
15
15 (a) 10
33
25
15
15 @ 10
7
25
20
25
15
25
20
25
15
35 @ 10
30
60
33
60 @ 10
20
50, 10 @ 10
12
• net
11
60
11
40 @ 5
15
30
17
20
15
30 @ 10
15
50
60
25
40 @ 10
8
net
15
40
20
65 @ 10, 10
30
75 @ 10
40
50
25
60 @ 10
20
75 @ 5
18
70 @ 10
8
10
55
28
15
13
40 @ 10
20
40
20
50
25
30 @ 10
16
40
20
70
11
io6
The Tariff and Trusts.
Manufacturers. Ex]^wS™
Articles-Description. List
Mach. screw 80 @ 5
Pipe taps and reamers 80, 10 @ 20
Massachusetts Saw Works,
Springfield, Mass.
Hardware, saw blades, Nos. 1 and 2. 50, 10, 10, 2
Saw blades, concave, No. 3 30 @ 2
Hacksaw frames, No. 21 50, 10 @ 2
Butcher saws 60 @ 2
Kitchen and eoping saws 50, 10, 10, 2
Aetna Mfg. Co., New York, N. Y.
Hardware, twist drills 70, 10, 10 @ 2
Bit stock drills 75, 10 @ 2
Katchet drills 50, 10 @ 2
John A. Robeling's Sons.
Trenton, N. J.
Hardware, Alligator wrenches 75, 10 @ 2
B. B. Noyes & Co., Greenfield,
Mass.
Hardware, drilling machines and drill
vise 25, 10, 10 @ 2
Bindley Mfg. Co., Valley Falls.
Rhode Island.
Hardware, spring cutters 90 @ 40
F. W. Devoe & C. T. Reynolds
Co., New York, N. Y.
Paints, etc., coach and car 40 @ 5
Ready mixed 45 @ 5
Lead and zinc 40 @ 5
Varnish 25, 5 @ 5
Foster Pulley Works, Fair port, N. Y.
Pulleys, woodsplit 70
Collins & Co., Bartford, Conn.
Shovels and spades 10
Bowe Scale Co., Rutland, Vt.
Scales 40, 10 @ 5
Indiana Shovel Co., Newcastle,
Indiana.
Scoops, spades and shovels 50 @ 75
Eugene Munsell & Co., New
York, N. Y.
Stoves, Manhattan, Nos. 8, 9, 99 30, 10 @ 5
Mosler Safe Co., New York.
Safes, office, Nos. 63, 38, 32 10 @ 5
Ames Plow Co., Boston, Mass.
Plows, Eagle, 1 and 2 horse 50 @ 5
Plows, side hill 40 @ 10
Plows, sod and road 50
Plows, M. E. chilled 40
Plows, contractors' grading 33
Plows, swivel road 40
Collins & Co., Bartford, Conn.
Plows, steel beam and other patterns 10
Pike Mfg. Co., Pike, N. B.
Hardware, scythe stones 50
Axe stones 50, 10
Washita oil stones 50, 10
Ark. oil stones 50 to 50, 10
Queer Creek oil stones 50 @ 10 to 50 @ 20
Home Dis-
Per
count from
Cent. Dif-
List.
ference.
80
11
80 @ 10
25
50 @ 10
13
25
8
35, 5 @ 10
14
50
25
50
25
70 @ 10
12
70 @ 10
24
40 @ 10
23
70 @ 10
25 (a) 10
90
40
20
net
22
15
66
40
45
40
25 @ 5
5
5
5
5
60 @ 10
20
net
11
40
17
33
33
17
40
25
37
15
40
20
30
17
25
24
30
17
net
11
33 to 40
20 to 32
40
33
33
45
33
32 to 45
40
33 to 50
The Tariff and Trusts.
107
Manufacturers.
Articles — Description,
Export Dis-
count from
List.
Home Dis-
count from
List.
40
50
net
net
net
Per
Cent. Dif-
ference.
33 to 50
50
40
32
26
10 to 20 23 to 38
Sandstones 50 @ 10 to 50 @ 20
Razor hones 50 @ 33.3
Royal Lubricating Oil Co.,
New York City, N. Y.
Oil, cylinder 25 @ 5
Oil, machine -. 20 @ 5
Metal polish 10 @ 10
Lidgerwood Mfg. Co.,
New York, N. Y.
Engines, hoisting and miscellaneous
mining and logging machinery 35
Douglas Mfg., Middletown, Conn.
Pump, cistern and pitcher 70
Pumps, force and various 50 to 60
Stanley Rule & Level Co., New
Britain, Conn.
Hardware, boxwood rules 55, 10, 10, 10, 10
Hardware, ivory rules 35, 10, 10, 10, 10
Hardware, plumbs and levels 30, 10, 10, 10, 10
Hardware, plumbs & levels, duplex. 20, 10, 10, 10, 10
Hardware, try and mitre squares.. 40, 10, 10, 10, 10
Hardware, gauges 20, 10, 10, 10, 10
Hardware, planes, wood, Bailey's..25, 10, 10, 10, 10
Hardware, planes, iron, Bailey's. .25, 10, 10, 10, 10
Hardware, tack hammers 40, 10, 10, 10, 10
Hardware, screw drivers 70,10,10,10,10,
Hardware, mitre boxes 10, 10, 10, 10, 10
J. Spencer Turner & Co.,
New York, N. Y.
Sail cloth, cotton duck 27, 2 @ 2
Edward Miller & Co.,
New York, N. Y.
Lamps, kerosene, lat. pattern
New York Boat Oar Co.,
New York, N. Y.
Oars and sculls .
The Water Paint Co. of America,
Bellows Falls, Vt.
Paint, dry 45 to 59 @ 5
The Upson Nut Co.,
Cleveland, Ohio.
Hardware, bolts, carriage 80
Hardware, bolts, machine 80 @ 5
Hardware, coach, screws 80 @ 20
Hardware, bolts, tire 80, 10 @ 5
SECOND TABLE.
Showing differences between Export and Home Prices on Cer-
tain Specific Articles.
60
40 to 50
60 to 60 @ 10
35 to 35,10,10
30 @ 10
20 @ 10
40 @ 10
20 @ 10
25 @ 10
25 @ 10
40, 40 @ 10
70 to 70 @ 10
10 to 10 @ 10
14
20 to 25
25 to 40
25 to 50
30
37
35
37
37
37
35 to 50
35 to 50
23 to 37
10 to 15
2 18 to 25
50 @ 20 40 @ 10 to 50 20 to 36
5@ 2
net
10
30 to 40 25 to 33
75
25
75
31
80
25
80
12
Export
Price.
Manufacturers.
Articles, Description and Quantities.
Adzes, carpenters', sq. h., 4-inch, per dozen $9.90
Adzes, ship carpenters', per dozen 10.80
Adzes, coopers', per dozen 11.70
Axes and hatchets.
Yankee, unhdld, 5 to 7 lbs., per dozen 6.75
Home
Price.
$11.00
12.00
13.00
7.50
Differ
ence.
11
11
11
11
108 The Tariff and Trusts.
Manufacturers. Export
Articles, Description and Quantities. Price.
Turpentine han., 4 1-2 to 5 1-2 lbs., per dozen. . 8.33
Miners' han., per dozen 5.62
Hatchets, hunters', No. 3, per dozen 4.95
Carpenters', 4-inch, per dozen 5.85
Coopers', per dozen 5.85
Lathing, No. 2, per dozen 4.50
Hammers, blacksmith, per lb .22
Sledges, per lb 16
Crowbars, per lb 054
Wrenches, 10-in., per dozen 5.04
Shovels, D handle, R point, No. 3, per dozen 7.42
Spades, D handle, R points, No. 2, per dozen 6.97
Plows, steel beam, No. 52, 53, 54, 50, each 10.35
Bush hooks, No. 3, each 6.30
Standard Axe Co., Ridgway, Pa.
Axes, hdld., up to 7 lbs., per dozen 6.30
Miller's Falls Co., Miller's Falls, Mass.
Braces, carp., 14-in. sweep, per dozen 11.42
Drill braces, per dozen 23.09
Auger bit stocks, per dozen 12.00
Ratchet drills, 14-inch, each 3.25
Breast drills, Nos. 10, 11, per dozen, 23.40
Drilling mach., No. 3, each 26.00
Hacksaw blades, 10-inch, gross 6.43
Hacksaw frames, No. 7, per dozen 6.50
Butcher-saw blades, per dozen .75
Spirit levels, 26 to 30 inches, each 1.80
Tube scrapers, per inch .30
Jackscrews, No. 10, each 1.98
Rumford Chemical Works, Providence, R. I.
Baking Powder, Horsford's, 1-lb. cans, per case. . 3.66 4.15 13
Borden & Co., New York City.
Condensed milk, Eagle Brand, 100 case lots 5.50 6.25 15
Kemp, Day & Co., New York City.
Canned goods, best Balto. beans, No. 2 1-2, dozen.. .85
Canned goods, best peaches, dozen 1.60
Canned goods, best peas, per dozen .85
Canned goods, best corn, G. R., per dozen 1.30
Canned goods, best lobsters, flat, per dozen 3.50
Canned goods, best 3-lb. apples, per dozen 80
Canned goods, best 3-lb. tomatoes, per dozen 75
Waterbury Clock Co., Waterbury, Conn.
Clocks — 8-day Akron or Aldrich, each 1.50
Clocks— Strike, each 62
C. T. Coffin d Co., New York City.
Dried Apples, selected quality, packed, lb 055
Ames Plow Co., Boston, Mass.
Churns, Cylinder No. 4, each 2.00
Corn Shellers, Prairie, each 3.50
Grain Mills, horse, each 13.20
Corn Planters, Boston seed, each 13.00
Fan Mills, Grant's No. 2, each 17.60
Cultivators, hand, Mathews, each 4.20
Horse hoes, Knox No. 2, each 4.95
Reels, Garden, each 4.20
Hardware, store trucks, each 3.00
Hardware, Platform trucks No. 1, each 7.20
Hardware, railroad trucks, each 23.10
Hardware, wheel jacks, No. 3, each 1.79
Home
Differ
Price.
en ce-
9.25
ll
6.25
11
5.50
11
6.50
11
6.50
11
5.00
11
.25
11
.18
11
.06
11
5.C0
11
8.25
11
7.75
11
11.50
11
7.00
11
7.00
11
13.37
17
24.30
17
14.40
20
3.75
15
27.54
33
30.00
15
7.65
20
7.50
15
.90
20
2.11
30
.40
33
2.23
12
1.05
23
1.75
9
1.05
23
1.50
15
4.00
14
1.00
25
.85
12
2.00
33
.80
31
.06
9
2.47
23
4.20
20
14.66
11
15.00
15
21.80
21
4.90
17
6.00
21
4.66
11
3.42
15
7.84
17
26.40
15
2.04
15
The Tariff and Trusts. 109
Export
Home
Differ-
Price.
Price.
ence.
4.15
5.25
25
5.81
6.77
15
8.50
10.20
20
7.20
8.40
17
18.33
20.61
24
1.25
2.00
60
.11
.15
36
.12
.14
16
.15
.17
13
10.80
12.00
11
7.83
8.70
11
1.80
2.37
32
.81
1.44
78
.81
1.52
88
12.25
15.96
30
1.44
1.60
11
Manufacturers.
Articles, Description and Quantities.
Plows, 2-horse Eagle W. & C, each 4.15
Plows, 2-horse side hill, each
Plows, heavy road, each
Plows, N. E. Chilled 2-horse, each
Plows, Contractors' heavy grading, each 18.33
Mark Mfg. Co., Evanston, Illinois.
Hardware, No. 1 Pipe Vise, each
Standard Oil Co., New York.
Kerosene Oil, cases
Naphtha, 76 deg., gallons
Gasoline, 86 deg., gallons
W. J. Wilcox Lard & Refining Co., New
York, N. Y.
Lard, Red Cross Brand, lbs .06 .065
Hartley Graham & Co., New York.
Revolvers, Colt's Army, each 10.80
Cartridges, U. M. C. Co., per M 7.83
Union Metallic Cartridge Co.
Cartridges, Rim Fire, 22 Short, per M
Primer's Berdans, per M
Caps, B. L. Sturtevant, per M
Shells, Lo'ded Blk. Pow., No. 200, New Club, per M.
Wads, Gun Black Edge, 4-gauge, regular, per M.
Export Lumber Co., New York.
Lumber, No. 2, Shelving, dressed, per M 33.00 35.00 8
Wall Rope Co., New York.
Rope, Manila ex. sel., lb 11 .13 22
Indiana Shovel Co., Newcastle, Ind.
Shovels and Spades, Al, No. 2, dozen 6.25 8.40 33
Scoops, Furnace No. 3, dozen 4.00 5.40 30
Howe Scale Co., Rutland, Vermont.
Scales, Port platform, with wh. No. 28, each 22.06 25.80 17
Scales, Family brass scoop, No. 324, each 7.70 9.00 17
Scales, Grocers' U beam, No. 350, each 4.10 4.80 17
Eugene Munsell d- Co., New York.
Stoves, Manhattan, No. 8, sq. top, each 11.97 16.00 33
Mosler Safe Co., New York.
Safes, 63 by 38 by 32, each 149.62 175.00 17
Tatham Bros., New York.
Shot, drop from small to B. size, lb .0325 .065 100
Robert H. Ingersoll & Bros., New York.
Watches, Dollar Yankee, each 60 .75 25
Connecticut Watch Co., N. Y.
Watches, Defiance, each 70 .85 21
C. H. & E. Goldberg, N. Y.
Woodenware, No. 6, Brooms, dozen 2.10 2.60 25
Woodenware, Washtubs, oak gr.
Woodenware, 8-in. nest., per nest 1.80
Woodenware, Pails, 2 hoop, oak gr., doz 1.35
Woodenware, Washboards, zinc, Nor. Queen, doz. 1.75
2.25
25
1.75
30
2.25
27
1 10 The Tariff and Trusts.
EXPORT VALUES VERSUS HOME VALUES.
The same expert who obtained the export prices for the Demo-
cratic National Committee made an accurate estimate of the value
of the cargo of the steamship Aros Castle, which sailed from
New York April 20, 1904, for South Africa. The cargo, which
was put on board by the firm of French, Edye & Co., of Nos. 9
and 11 Stone street, New York City, cost its buyers in South,
Africa $212,564. The same cargo, at domestic prices, if sold to
buyers in New York City, would have cost $246,045. Thus, on
the cargo of this one small steamer (of only*2,870 tons register)
a rebate of $33,481 was made in favor of buyers in South Africa.
In other words, owing to the power which Republican high tariff
taxes give the trusts to charge high home prices without fear of
foreign competition, this one small cargo would cost American
buyers $33,481,- or 15.7 per cent, more than the trusts are glad
to sell the same goods for to buyers on the other side of the globe.
When the rebate on the cargo of a single small steamer on a sin-
gle trip amounts to $33,481, it is clear to any one at all familiar
with the fact that hundreds of ships and steamers are engaged in
carrying American goods to foreign buyers, that the sum total of
rebates to foreigners must amount to an enormous sum; and per-
sons experienced in the export trade know that nearly all ex-
ported goods are sold at lower prices than charged in the home
market. These facts are known to the customs officials, and should
be known to the Secretary of the Treasury, yet Secretary Shaw
repeats statements that have not only been often disproved, but
are refuted by numerous official reports of his own department.
On page 19 of the 1904 Republican campaign text book, Secretary
Shaw is quoted thus:
"Our opponents lay much stress upon the fact that some American
manufactures are sold abroad cheaper than at home. Our friends some-
times deny this, and they sometimes apologize for it, and a few in times
past have joined our opponents in recommending a removal of the tariff
from all such articles. It is useless to deny, and in my judgment unwise
to apologize, and a little short of foolishness to attempt to remedy the as-
sumed evil in the manner proposed by the opposition.
um * » Senator Gallinger, of New Hampshire, in his speech made
in the United States Senate on April 23d last, placed the value of exports
sold at a lower price abroad than at home, at $4,000,000. I cannot find
that the substantial correctness of this estimate was ever questioned by the
opposition."
So far from the correctness of this estimate not being even ques-
tioned, its falsity has been absolutely proved, as was conclusively
shown in the Democratic campaign book of 1902. It is not only
false, but is based upon so many misstatements of facts that its
repeated use after full exposure would seem to evidence an inten-
tion on the part of Republicans to deceive voters, if possible. The
total wholesale value of manufactured goods sold at home is not
less than $6,000,000,000. The value of these same goods for
The Tariff and Trusts. 1 1 1
export is only about $4,800,000,000, and the difference between
these two amounts, in round numbers $1,200,000,000, affords an
approximate measure of the staggering price which the American
people pay for so-called protection. As a further illustration of
the reckless manner in which even high Republican officials are
disposed to juggle with figures, witness the following statement by
Secretary Shaw, quoted on page 20 of the Republican 1904 cam-
paign text book: "The United States Census reports our aggre-
gate manufactures of 1900 at $13,000,000,000. * * * $4,000,-
000, the amount estimated to be sold abroad cheaper than at home,
is therefore only l-30th of 1 per cent, of the aggregate." Is
Secretary Shaw a novice with figures, or does he desire to deceive
voters with big statistics which he knows to be untrue? It seems
hardly possible that a Secretary of the Treasury should not know
that we did not produce in a year $13,000,000,000 worth of manu-
factured goods, ready for final consumption; the total did not
reach anything like that enormous figure. A Secretary of the
Treasury, of all men, ought to know that the census statistics of
manufactures contain many duplications, for example, such as
manufactures of cloth goods and of clothing, of iron and of steel,
of foundry products and machinery, of lumber and of furniture,
of leather and of boots and shoes. In merely these few industries
the duplications amount to between two and three thousand mil-
lions. Were it possible to eliminate the duplications, that is the
products of one mill that are sold as raw materials to another mill,
it is probable that the total value of finished manufactured prod-
ucts would not be more than half of the $13,000,000,000 men-
tioned by Secretary of the Treasury Shaw. His statement that the
manufactured goods sold abroad cheaper than they are sold at
home amount to only $4,000,000 is, as has already been stated, un-
true. Secretary Shaw says that he got this $4,000,000 statement
from "a non-partisan commission appointed by Congress." (Re-
publican 1904 Campaign Text Book, page 19.) But the Secretary
neglects to cite page and volume. As a matter of fact, no such
statistics appear in any of the Commission's nineteen volumes.
Neither are there any statements from which the Secretary could
reasonably draw such a conclusion. The industrial commission
summed up its conclusions as to export prices jn Vol. 19. Here are
a few extracts from pages 626 and 627 of this volume :
"In about 20 per cent, of the cases covered by the Commission returns,
the export prices have ruled lower than those charged to home consumers.
* * * The practice is quite common in all countries, and on the part
of the separate establishments as well as of combinations."
Here, according to even the authority cited by Secretary Shaw,
20 per cent, (not one-thirtieth of one per cent, as Mr. Shaw says) of
our exports are sold abroad at cheaper prices than are charged
at home to Americans.
One of the recommendations of this strongly Republican com-
mission was:
1 12 The Tariff and Trusts.
"That in view of the extent and perfection of our manufactures, of our
growing export trade and the sharp competition it encounters in foreign
markets, of the practice by some exporters of making lower prices abroad
than at home, and of the desirability of protecting the consumer as well as
the producer, without awaiting other legislation, the Congress provide for
a commission to investigate and study the subject, and to report as soon
as possible what concessions in duties may be made without endangering
wages or employment at home, what advantages abroad may be obtained
therefor, and also to suggest measures best suited to gain the ends desired."
No attention was paid to this recommendation,' by « the Kfcpib-
licans in Congress. On the contrary, the Republicans decided to
"stand pat" on the tariff and to leave the protected interests un-
molested in this nefarious practice.
One of the Commission, Honorable Thomas W. Phillips, did not
sign the majority report. In a supplementary statement he said :
"There are a large number of industries in which it is in evidence that
the domestic price is much higher than the export price. I do not agree
that the answers to inquiries addressed by the commission to exporters in-
dicate that the trusts are not chargeable with this practice to any serious
extent. Out of 2,000 schedules of inquiries sent out, there were received
only 416 replies, and only a very few of these replies came from corpora
tions known popularly as trusts. (Vol. XIII, p. 726.) The fact that
about 75 answers indicated lower prices abroad than at home is significant,
when it is noted that more than four-fifths of those addressed failed to
answer, and that naturally those who are chargeable with such discrimina-
tion would be the ones who would decline to reply.
"Several witnesses before the commission on behalf of the trusts ad-
mitted that their export prices were lower than their domestic prices, but
they contended that this was necessary in order to work off their surplus
and to keep their establishments running full time, and that the fact that
their surplus products could also be worked off by lower prices at home, and
that it is the tariff which encourages them to cause a domestic surplus by
restricting domestic consumption through high prices."
HOW THE INDUSTRIAL COMMISSION INVESTIGATED
EXPORT PRICES.
Secretary Shaw must know, as does every ex-member of the Com-
mission, that the pretended investigation which that partisan body
made of export prices was a farce and that it is absurd to draw
conclusions from the data obtained in answer to the scattering
letters of inquiry sent out by the Commission.
The schedules of inquiry were sent to only 2,000 of the 600,000
manufacturing establishments of this country — that is to only one
in every three hundred. In the next place, only 416 replies were
received. Of course, as Commissioner Phillips says, the answers
were mainly from those who were not guilty. The guilty ones did
not volunteer information which would incriminate them before
the American public. Moreover, they doubtless understood the
make-up of the Commission and knew that it did not want evi-
dence of the great extent of this business. Hence, nearly all of
the guilty manufacturers either refrained from answering at all
The Tariff and Trusts. 1 1 3
or put in such ridiculous and absurd answers as they supposed
would please a majority of the members of the Commission. Un-
der the circumstances it is remarkable that even 75 manufactur-
ers admitted that they were discriminating in favor of foreign
customers. At this rate more than one hundred thousand Amer-
ican manufacturers are favoring foreigners.
SECRETARY SHAW EASILY REFUTED BY EXPORT STATISTICS.
At a conservative estimate 20 times $4,000,000 of manufac-
tured goods can be found in the iron and steel schedules alone which
are sold abroad at reduced prices. President Schwab of the Steel
Trust told the Industrial Commission in 1901, that everything
was sold cheaper abroad than at home. Our exports of iron and
steel goods for the fiscal year ending June 30, 1904, were valued
at $111,948,586. From these exports- a half dozen items, all larger
than $4,000,000, can easily be picked, about which there is no doubt
that all are sold cheaper to foreigners. One of these is steel
rails, the exports of which were valued at $4,253,376 ; wire valued
at $5,821,921; builders' hardware, valued at $11,726,191; sewing
machines and parts of, valued at $5,625,423; pipes and fittings,
valued at $6,310,551 ; typewriting machines, valued at $4,537,125.
Many other items could be selected any one of which would re-
fute Secretary Shaw's off-hand statements as to export prices.
As excusing the sale of goods abroad at lower prices, Secretary
Shaw said:
"For my part I am willing to pay any reasonable price for the small
amount of barb wire which I consume, provided the wheat from my fields,
the dairy products from my herd and the meat from my stall shall feed
the men who mine the coal and iron and the artisans who produce the
wire to fence the farms of fciouth America."
But suppose upon inquiry the Secretary should find that while
he was paying two prices for his barb wire, because of protection,
he was selling his wheat, and other products in a free trade mar-
ket and was getting no benefit whatever from protection; would
he then be willing to pay high prices for his fencing wire? If
the Secretary can induce the farmers of this country to think along
these lines he will certainly have accomplished a difficult feat.
SPECIFIC ILLUSTRATIONS OF THE WAY REPUBLICAN
HIGH TARIFF TAXES ENABLE THE TRUSTS TO EXTORT
FROM AMERICANS MUCH HIGHER PRICES THAN
THE PRICES OF THE SAME GOODS
TO FOREIGNERS.
In addition to the lists compiled from export journals, the list
prepared especially for the Democratic Committee by an expert,
and the admissions made by seventy-five manufacturers in reply
1 14 The Tariff and Trusts.
to letters of inquiry sent out by the industrial commission, a mass
of evidence is also to be found in trade journals and newspapers,
as well as in official documents.
INGRATITUDE OF TIN PLATE TRUST.
The Tin Plate Trust has for over two years been selling plates to
the Southern Cotton Oil Company and other exporting manufacturers of
canned goods at about $1.00 per box below the regular prices. It offered
to meet the Welsh prices (about $1.50 per box of 100 pounds below the
American price, the duty being $1.50 per box) on an order for 1,500,000
boxes from the Standard Oil Company, if the working men would accept
a 25% reduction in wages. The compromise was arranged and reduced
wages were accepted until September, 1903, and extended to 1904 and
1905. Thus, these workers are now working at reduced wages in order
tnat the manufacturers may sell tin plate for export at two-thirds of
the prices charged in the home market.
The tariff on tin plates has cost this country over $100,000,000 during
the last twelve years. As soon as the manufacturers could produce as
cheaply as foreigners they got together and formed a trust and put up
the price from $2.80 per box in 1898 to $4.84 in 1900. It is now $3.64.
The ingratitude of the protected trusts and manufacturers is monu-
mental. They accept charity from us until they become strong, then
they utilize to the fullest the power which the tariff gives them to
cnarge us exorbitant prices, and to our protests they merely reply: "What
are you going to do about it?"
EXPORT PRICES OF FILES.
In February, 1904, the literary bureau of the Democratic Congres-
sional Committee received a letter from Henry Rossell & Co., limited,
Sheffield, Eng., large manufacturers and dealers in files and tool steel.
This letter says:
''As an illustration of the unfair manner in which home buyers of
files are treated by the United States manufacturers I enclose you here-
with a comparison of the prices charged to the buyers in the United
States, with those offered by the same manufacturers here."
Some of the prices on the list enclosed follow:
COMPARATIVE PRICES OF AMERICAN FILES IN
AMERICA AND ENGLAND.
Price per Dozen %
Articles. England. United States. Difference.
Flat bastard, 4 inches .34 .92 170
6 " .50 1.07 114
10 " 1.08 1.75 62
Hand " 4 " .38 .92 142
6 " , .62 1.07 73
10 " 1.30 1.87 44
Half round bastard, 4 inches .34 1.20 253
6 " .50 1.52 204
10 " 1.08 2.27 108
Round bastard, 4 inches .34 .75 121
6 " .50 .87 74
10 " 1.08 1.40 30
Square " 4 " .34 .95 179
6 " .50 1.15 130
" 10 " 1.08 1.85 71
From these figures we see that the American File Association, which
has not revised its price list to American buyers since November 1, 1899,
is charging us for most kinds of its small files more than twice as much as
it charges Englishmen for these same files, and for half round files we
must pay them three times the price charged Englishmen.
The Tariff and Trusts. 1 1 5
BABY FOOD CHEAPER TO FOREIGN BABIES.
In 1903 the Casein Co., of America, the trust that controls the supply
and price of milk sugar which forms the basis of baby foods, was selling it
in this country at 14^, and in Germany at 9% cents per pound. The same
difference in prices is maintained to-day. The Dingley duty on sugar of
milk is 5 cents per pound. This is the way in which the tariff fosters and
protects our real "infant" industries.
EXTRACTS FROM "THE IRON AGE."
As authority for some of the prices quoted in the table, and as showing
the new evidence that is coming to hand nearly every day, the following
extract from, or references to, recent numbers of the Iron Age are given:.
On November 12, 1903, the Iron Age quoted American bars in
England at 82 shillings, or less than $20.00 per ton, and in America at
$1.42% cents, or $31.92 per ton. Thus the independent manufacturer of tin
plate in America, who has to buy his bars of the steel trust, must pay
more than 50% more for his chief raw material than is paid by his foreign
competitor. This is "protection to home industries" with a vengeance.
The same number of the Iron Age tells us that American steel beams,
plates, angles, channels and rivet steel are being sold in Canada at from
$9.00 to $11.00 per ton less than the prices charged here.
The Iron Age of December 17 enumerated a great number of articles
of American make which sold largely in South Africa. Nearly all are
sold there at prices far below those charged here. Thus it appears that
shovels, which our shovel trust sells here at 90 cents each, are sold there at
36y2 cents. This Iron Age also contains information showing that
U. S. Steel Corporation was early in January offering steel billets in Lan-
arkshire, England, at 75 shillings per ton. Deducting $5.00 for freight
and other transportation costs, the trust gets about $14.00 per ton for
billets for export, while its price to American consumers is $23.00.
STEEL PLATES MUCH CHEAPER TO FOREIGNERS.
Many of the shipbuilders who testified before the Congressional
Merchant Marine Commission, which has been taking testimony
in various cities since last April, stated that foreign shipbuilders
were purchasing steel plates, angles, etc., of American manufac-
turers much cheaper than American shipbuilders could obtain
these products. When the Commission was sitting in Cleveland,
Ohio, Mr. James E. Wallace, of the American Ship Building
Company, stated that American steel was delivered at Belfast for
$24 a ton, while the same steel cost purchasers in this country
$32 at Pittsburg. His authority was the assistant sales-agent of
the Carnegie Steel Company. This statement brought forth from
Senator Gallinger, the Chairman of the Commission, the excla-
mation, "If that's so, it is an outrage and ought to be remedied."
When the Commission was sitting in New York, Mr. J. J. Hill
stated that Canadian Eailroads were buying steel rails of the steel
trust at about $10 a ton cheaper than his road could obtain them
on this side of the line.
On July 30, 1904, the New York Journal of Commerce and Com-
mercial Bulletin contained the following:
"One of the most interesting features of the steel situation is an im-
portant sale of several thousand tons of steel plates for export, the price
of £5 delivered at Newcastle-on-the-Tyne, netting the mills about 90 cents
per net ton, F. O. B. Pittsburg. It should be remembered that sales are
made in the English market by the gross ton; allowing $3.50 freight rates
and a slight allowance for insurance, this price would net the mills $20.00
c 16 The Tariff and Trusts.
gross, or $1.80 per net ton, or 90 cents per hundred, against $1.60 per hun-
dred for domestic business."
IRON AND STEEL TRUSTS REBUKED BY REPUBLICAN
OFFICIAL REPORTS.
That even Republicans see the injustice of charging Americans
more for American made goods than foreigners are charged for the
same goods, that even Republicans know this system is a grievous
burden upon American manufacturers as well as upon American
buyers is evident from the following extract from the August (1900)
Report of the Bureau of Statistics on commerce and finance. The
Report was prepared under a Republican administration, hence
must be deemed to voice the Republican view (when talking scien-
tifically and not for mere election purposes) .
"The progress of work on shipbuilding in the United States has likewise
been retarded, because makers of steel materials required a higher price
from the American consumers than they did from the foreign consumers
for substantially similar products. Of course, American exporters have to
get foreign contracts in competition with foreign plate makers, who are
excluded from our domestic market. In addition to this, American export
plate makers are interested in preventing the establishment of plate manu-
facturing in their customer nations abroad, and to that end bid low
enough to discourage foreign nations from entering the field for producing
their own plate at home. The progress of domestic manufactures of iron
and steel goods may likewise be handicapped by the sale of iron and steel
in their manufactured state at so much lower a price to foreigners than to
domestic consumers as to keep the American competitor out of foreign
markets generally. The natural limit to such a policy of maintaining a
higher level of prices for these materials at home than abroad is found
in the restriction of domestic consumption and the import duty. If re-
striction of consumption at home does not operate to prevent the short-
sighted policy of discrimination against domestic development of manufac-
turing industries, the other contingency is more or less sure to rise, namely,
the demand for the reduction of the tariff on unfinished iron and steel, in
order to equalize the opportunity of makers of finished products in foreign
markets. To this policy the domestic consumer is usually ready to lend
himself, thus making a powerful combination of interests to set limits to
the rise of domestic prices of iron and steel materials.
*#♦*»#*#*
"Of the two policies open to iron and steel makers, the far-sighted one
of keeping the domestic and foreign markets as near as possible on a par
in the price of these materials of manufacture seems by far the wiser one
to follow, both in the interest of a steadier course of prices, which means
steadier consumption, and on account of the competition of manufacturers
of finished goods with foreign manufacturers in the neutral markets of the
world.
"The other policy of maintaining prices to manufacturers at the highest
level at home leaves little margin for experiment in seeking new markets,
and restricts the application of iron and steel to additional uses at home.
The depressing effects of an agitation for tariff revision to remedy this
inequality are sure to cause a far greater business loss, not only to the
country as a whole, but to the producers of iron and steel themselves, than
is to be gained by selling at low prices abroad, which they cannot help, and
at high prices at home, which they can help. Nor can the home market
price be sustained beyond certain limits by export sales. Certain American
manufacturers of steel materials tried this policy up to April, 1900. It
resulted in a very positive shrinkage in domestic consumption at the then
high rates. Farmers had ceased to purchase barbed wire for wire fences,
retail hardware dealers had complained for months of diminished business
in nails and wire. Jobbers had gotten in the way of doing a hand-to-
The Tariff and Trusts. I iy
mouth business on prices that had advanced from $1.35 to $3.20 in the
course of a year. Hence the reduction of $1 in April, 1900, became a neces-
sity in order to keep the mills in operation.
"If steel rails, for example, sell at Pittsburg for $35 per ton for months
in succession for home consumption, while the foreign consumer is purchas-
ing them for $22 to $24 per ton, the domestic market is sure to order no
more than it is obliged to have for the time being."
SENATOR A. O. BACON, OF GEORGIA, PRODUCES EVIDENCE
AS TO EXPORT PRICES OF STEEL RAILS.
Senator Augustus 0. Bacon of Georgia produces some strong
evidence of export prices in his speech in the Senate, April 25,
1904. He had printed in the Congressional Record a letter to
him from Mr. James T. Wright, vice-president and general mana-
ger of the Macon, Dublin and Savannah Eailroad Company. Sena-
tor Bacon stated that Mr. Wright was an Indianian and a Repub-
lican. In his letter to Senator Bacon, Mr. Wright states that his
railroad was compelled to pay $29 a ton for 5,618 tons of steel
rails, although the same steel company that charged him $29 of-
fered to sell him rails for Honduras at $20, the rails to be loaded
upon vessels chartered to a foreign port. Commenting upon these
prices Mr. Wright said :
"Allowing a liberal amount for cost of delivery at tide water, which
in this particular case would have been very small, we American citizens
paid to this American industry $33,000 in excess of what foreigners would
have been compelled to pay. And $33,000 would have put up a very hand-
some library filled with standard books on protection.
"And this was a very small transaction — only 50 miles of railroad!
Payments were cash, and we neither needed nor asked any concessions in
the matter of time. Because we were Americans, interested in the develop-
ment of a small section of our country, involving faith and sacrifices, we
were compelled to pay out as a bonus in excess of $600 per mile."
Senator Bacon also had printed in the Record a letter from Mr.
W. G. Raoul, president of the National Railroad Company of
Mexico. It was dated February 25, 1904. In it Mr. Raoul said :
"For a long time past all our purchases have been made on the basis of
export prices, even though they have occasionally stopped in Texas, the
competition being keen enough to produce this cut in prices in favor of
the Texas shipments, so that it has been some time past since we have had
any material differences, but those differences do exist and to an iniquitous
extent. I use the word 'iniquitous' because it certainly seems so to me when
the citizens of the United States are required under the laws of the coun-
try to pay a higher price to the manufacturers than these same manufac-
turers are willing to make and sell to foreign people for. In 1902 I se-
cured bids on steel rails for Mexico from United States mills at about $24
delivered at Tampico, while the price I paid at the same time for rails for
our road in Texas was $28 at the mills.
"I have understood that the Canadian Pacific has just bought a large
lot of rails from the United States Steel Corporation at $21. It is as-
serted and denied that the $21 is for delivery at Montreal. If it is, the
price at the mill would be about $19, while the price for United States
roads is still $28 at the mills. I do not know this of my own knowledge,
and it is merely current report."
The following extracts from Senator Bacon's speech further
elucidate the statements in the letters:
"I stop there to note that the $24 was the price, delivered at Tampico,
1 1 8 The Tariff and Trusts.
for rails which were to be used for a part of the road in Mexico. Of
course, from the $24 was necessarily deducted the cost of transportation,
so far as the receipt of the manufacturer is concerned, and for the road, so
far as it lay in Texas, at the mills the price was $28 a ton. So if you
allow even $4 as the cost of transportation, there was a difference of $8 a
ton between the price charged by the manufacturers for rails sold to the
same party where he was to use a part of them in Texas and to use the
other part in Mexico.
"Twenty- four dollars was the price at Tampico, and in that case, of
course, the manufacturer paid the freight to Tampico, and that was for
rails to be used in Mexico ; but for rails which were to be used in Texas the
price was $28 at the mills, which would have required the railroad com-
pany, of course, to pay the freight.
"If $4 was the cost of transportation at a difference of $8 a ton between
the price charged by the maker of the steel rails to the same person where
he had a railroad line partly in Texas and partly in Mexico, he paid $8
more for the rail to be laid in Texas than for the rail to be laid in Mexico.
"Mr. Blackburn. At the same time?
"Mr. Bacon. At the same time; not, as suggested by the learned Sena-
tor from Rhode Island, when there was a difference in pig iron or the cost
of labor or anything else. Here is $8 a ton, about representing the differ-
ence made up by the $7.84 a ton duty.
"In these two cases here are the actual prices stated by a customer.
In each case it is the same rail by the same manufacturer to the same cus-
tomer, at the same time, and in each case there is a discrimination of the
price to this same customer of the same rail at the same time as between
the rail to be used in the foreign country and the rail to be used at home."
SENATOR BACON'S EVIDENCE ON EXPORT PRICES OF BARBED WIRE
In the same speech Senator Bacon said :
"Barbed wire has increased in price, certainly considerably over 100 per
cent., if not nearly 200 per cent., not very recently, but at the time when it
was taken into the trust, and very soon thereafter.
"I have a letter from an exporter in New York City, voluntarily writ-
ten to me, in which he states that the price to him for barbed wire to be
exported to South America is $2.20 per hundred pounds, while to the man
in the United States the price of barbed wire is from $2.90 to $3 per hun-
dred pounds. In other words, the farmer in South America can fence his
fields with barbed wire made in the United States and sold to him in the
United States at a less price than that at which the farmer in the United
States can buy barbed wire from the same man in the United States to
fence his field with. Under the operation of the present tariff law the
American farmer is compelled to pay to the barbed wire manufacturers in
the United States at least 40 per cent, more than the South Ameri-
can farmer is required to pay when he buys exactly the same wire
from the same man in the United States."
In his speech of April 26, 1904, Senator Bacon stated that Mr.
William L. Lent of the Murray Hill Hotel, New York City, had
a Republican friend in New York who recently bought a sewing
machine of an export agent at $18, for which he was asked $55
by the New York agent. The machine was delivered aboard a
ship and then sent back to this Eepublican.
ENGLISH TESTIMONY THAT TRUST-MADE GOODS
ARE SOLD CHEAPER ABROAD THAN IN AMERICA.
The Chamberlain Tariff Commission, composed of some sixty
of the leading business men of Great Britain, began taking testi-
mony and securing evidence some months ago relative to the gen-
The Tariff aud Trusts. 1 19
eral subject of tariff duties. The report of this commission fairly
bristles with such items as these:
"Firm No. 312. We have an offer this week of Siemens-Martin billets,
made at Pittsburg, delivered c. i. f. British Port, of 75 shillings per ton.
This week's quotation for pig iron for steel making purposes (see Iron Age,
Jan. 21, 1904), is about $13 per ton at Pittsburg. The best equipped works
in Pittsburg sell at present raw material, wages and prices, manufactured
pig iron into Siemens-Martin open hearth billets at $6.50 per ton — that is,
equal to $19.50 per ton at Pittsburg. The selling (pool) price at Pitts-
burg to-day for open hearth billets is $24."
(In other words, the Siemens-Martin billets which were offered
to Firm No. 312 at 75 shillings per ton were costing American
consumers that same week $24, or 98.36 shillings per ton — 23.36
shillings more to the American than to the foreigner. )
"Firm No. 898. Pig iron from U. S. A. is imported into this country
( England ) , below cost price here ; our consumers are buying at 5 shillings
per ton less than we can produce it, and the Americans are reported to be
selling for export to England at a price equivalent to 8 shillings per ton
lower than the price at which they are supplied in their own country."
"Firm No. 1512. German and American Bars.
"The following are the prices of German and American bars for export
to this country, and for their own trade:
Export per ton. Home market per ton.
German bars 77s. d/d works in Wales, 92s. 6d. f o. b. maker's works.
American bars 76s. d/d works in Wales, 28 dollars or £5 16s. 8d.
f. o. b. maker's works.
Price of Welsh bars, 80s. to 85s. delivered.
Tariff on steel bars into Germany, 23s. 5d. per ton.
Tariff on steel bars into U. S. A., 46s. 8d. per ton."
HOW AMERICAN STEEL IS SOLD IN ENGLAND TO THE COLONIES..
Firm No. 478. *
"Messrs. A. B. C, of Sheffield, used to buy large quantities of steel from
us for export to (colony). They now buy in the States and ship di-
rect to (colony). They never see it; only invoice it and pocket the
profit. How is tariff reform going to deal with that?"
CANNOT COMPETE WITH AMERICA IN AUSTRALIA.
Firm No. 1147.
"American wire is sold to mattress makers in Sydney at 30s. per ton
less than it is sold in Birmingham, and it appears useless for us to attempt
to do business there."
BRITISH LOSING CANADIAN MARKET FOR TIN PLATE.
Firms Nos. 1510 and 1511.
"Our experience is that we are fast losing the Canadian market for
tin plates, and the Americans have recently sold at least 100,000 boxes
there, while it is reported that they have also taken orders for Australia.
"The Iron Age, of February 4, 1904, page 48, gives the price of 20 by 14
tin plate at $3.64, f. o. b. Chicago, or 15s. 9d. a box. The present price of
English tin plate is about 10s. 9d net f. o. b. Swansea. Notwithstanding
this difference in favor of our tin plates, the Americans have booked
Canadian orders at a price delivered Canada less than f. o. b. Swansea price
of English plates. The tariffs put on tin plates by the United States have
completely killed our trade with that country, except as regards a small
export of tin plate for re-exportation on which a rebate of 99% of the
tariff is allowed."
120 The Tariff and Trusts.
WIRE ROPE BUSINESS DEAD.
Firm No. 1516.
"German and American wire rope makers also sell finished wire rope in
British colonies at lower prices than they would charge for same rope in
the country of origin. Wire rope is our original and principal trade, and
the manufacture of steel, wire rods and wire in our works are principally,
though not entirely undertaken to supply the material for wire rope mak-
ing. We find severe competition in all the British colonies from (A) for-
eign wire rope makers, (B) English firms, who, at the prices at which they
sell, must make their ropes, either from (1) foreign wire, or (2) wire
made from foreign rods or billets. In U. S. A. we did a good trade in wire
rope some years ago. This branch of our export trade is now absolutely
nil."
COMPETITION IN THE COLONIES.
Witness No. 1. (505.)
"In Canada we suffer from American competition; I lost an order for
1,000 tons of steel rails there last week. America also competes in Aus-
tralia and at the Cape, but not so keenly as in Canada. I cannot give you
the reason for the loss of the order for 1,000 tons of rails; the order was
intended for Cape Breton, and was worked through Glasgow merchants,
who assured us we would get the order. We lost it in spite of the 33%
preference."
SELLING PRICES OF TUBES IN PROTECTED COUNTRIES.
Witness No. 12. (1820.)
"It is a fact that tubes are sold at higher prices in protected countries
than the same countries export and sell at in Great Britain. On February
18, 1904, I got from the British Consul at Pittsburg, America, the dis-
counts from the American price lists that the tubes are being sold at in
Pittsburg — that is the largest seat of manufacturing of American tubes.
That was in truck loads of five tons. When I worked out this on the
American price lists, less the discounts given me, and at per thousand feet
— taking a thousand feet of each of the sizes for which I am able to get a
price, namely 14, making a total of 14,C00 feet — I got a net sum that they
Would pay in Pittsburg of £420 4s. Id., and on the same date— and it for-
tunately happens that it was the same date — I got a quotation from the
United Steel Products Company of America, practically the selling spot
some of the large American works for tubes delivered in the Thames, Lon-
don. These discounts are quoted from the English price list. I took a thou-
sand feet of each of these fourteen sizes — they are the running sizes of the
trade — and less the discount which they gave me, it made for the 14,000 feet
£332 14s. 6d., so that the American is really dumping in the Thames at
£87 9s. 7d., for this quantity of tubes, less price than he is obtaining at
the point of manufacture, where he has neither to pay freight nor car-
riage. In other words, he is selling at 26.25% higher price in Pittsburg
than he is selling these same tubes in the Thames."
STEEL TRUST CONTROLS CANADIAN MARKET FOR BARB WIRE.
Witness No. 15. (904, 908.)
"I am a manufacturer of wire, wire ropes, and netting, and I wish to
confine my remarks to these branches. I may give one instance of the
methods of foreign competitors. The United States sell in Canada up-
wards of 30,000 tons of barbed wire per annum, which they distribute
through the medium of the Canadian Hardware Ass'n. At the commence-
ment of each season the United States Steel Corporation enters into an
agreement with the Canadian Hardware Association, binding them to buy
their barb from them. The U. S. Steel Corporation guarantees the Cana-
dian jobbers a profit of 10%, and handles the trade with despatch, and in
a thoroughly satisfactory manner. The price charged is one at which
English manufacturers would be quite prepared to do business. This,
however, is impossible, for any attempt to get a jobber to buy elsewhere
The Tariff and Trusts. 121
than from the United States results in reprisals of a serious character in
the shape of an attack on the jobbers' customers, and refusal to supply
the jobbers with barb. There are very large quantities of barb consumed
in Canada, and the trade having grown under the hand of the U. S. manu-
facturers, they are in a position to supply the enormous requirements.
The English manufacturers, as at present situated, could not supply these
large quantities, and that puts another strong weapon in the hands of
the United States suppliers, because if they refuse to supply the big job-
bers with barb, they would have a difficulty in getting their supplies at all.
"The Canadian Hardware Ass'n includes every large jobber in the coun-
try— they are all members of the association — and they approach the
American and Steel Wire Co., or rather it is now the U. S. Steel Cor-
poration, and they settle with them at the commencement of the season
the price at which they are going to buy as an association, and the whole
association enters into an agreement to buy from the steel corporation,
with a guaranteed profit of 10%. A distributor does not care a rap what
price his commodities are going to be sold at. He would pay 50 a ton
for wire if he could get a proportionately increased profit, and if the
United States Steel Corporation comes to them and says: 'We have got
plenty of barb; you may have it despatched as you please; everything
will be made as convenient as possible; you need not handle an ounce;
we will consign it direct to your customers according to your instruc-
tions; and on the top of that we will guarantee you 10% profit. * * * '
I do not know whether the farmer is materially injured. The difference
is very small. Four or five years ago, when the wire trade and other
trades in this country were booming, the price of galvanized fencing wire
was about £12 10s. a ton; everybody paid it, and they were perfectly
happy, and there was no grumbling. On the contrary, there were more
orders than we knew what to do with. At the present time, when the
price of galvanized fencing wire is about £8 10s., nearly 30% less, it is
all we can do to keep the mills going."
STEEL MANUFACTURING COSTS LESS IN THE
UNITED STATES THAN IN ENGLAND.
Witness No. 16. (1023, 1026, 1045, 1046.)
"The cost of converting pig iron into steel in the United States must,
in the majority of cases, be somewhat less than the corresponding cost in
this country, despite the fact that wages there are materially higher. But
the cost is not in any two cases the same. The cost of labor was phenomen-
ally low. In the case of a rod mill brought to my notice, it was less than
4s. per ton of rods. In the case of billets it has been under 4s. per ton.
In the case of rails, it is probably, on an average, not more than 65%
what it is in this country. In the more finished forms of material it is
more than in the lower forms, but whatever it may be, it is always con-
trolled by the fact that the output of a given plant is usually two or
three times that of kindred plants in Europe, with only half to two-thirds
the number of hands here employed to run it. The Industrial Commission
stated the average cost of the conversion of pig iron into steel billets at
6s. 6d., and the average incidental expenses at 3s., but this is much too
high for the best plants.
"The combination of up-to-date plants, economies, and improvements
has enabled our American rivals, paying the highest wages known in the
trade, to produce plates at a cost of only about 3s. 6d. per ton for labor,
averaging some 225 tons of plates per shift. One mill at Homestead
works has produced 1,049 tons of sheared plates in 24 hours, which is at
the rate of 315,000 tons in 300 working days. A forty-inch cogging mill
at the Illinois works at Chicago produces 200,000 to 250,000 tons per year.
These results are not equalled in our own mills. And yet there is no rea-
son to suppose that our plate mill practice is generally much behind that
of other countries. It was until lately, if it is not now, in advance of that
of any other country. If it has now fallen somewhat behind the best
American practice, probably not much ground has been lost.
122 The Tariff and Trusts.
"In the matter of nominal wages Great Britain occupies an interme-
diate place between Germany and the United States, being, however, not
so much higher than the Germans as we are below the American level.
"The higher American nominal wage rates do not, generally, appear
to operate to the detriment of American manufacturers. On the con-
trary, it is universally admitted that the real wage rate — the labor cost
per unit of production — is less in the United States than in any other
country. The best comparison of American and Britishers' wages that 1
know of, and one of the most recent, is that contained in the report of
my colleague on the American Commission of the British Iron Trade
Ass'n in 1901, Mr. Axel Sahlin, who obtained from the managers of a
considerable number of representative works actual wage rates, which
showed that at blast furnaces, hour for hour, there was then but little dif-
ference in the rates paid as between Great Britain and America, while
some of the American furnaces produced 3,500 to 4,000 tons per week,
compared with 850 to 620 tons in England, with nearly the same number
of hands. For unskilled labor, the British rate is materially lower than
the American.
"I do not hesitate to say that if the Canadian had been charged the
same prices as were nominally charged on the other side of the line,
hardly any American iron and steel would have found its way into Canada
during the last five years in competition with the cheaper prices quoted
for British material."
THE TARIFF— PRICES AND WAGES.
Exposure of absurd method by which Republicans, make "average" cost of
living seem low, while "average" of wages is made to seem high.
"Official" statistics prepared by government officials especially for use of
Republican campaign committee.
Wages have declined from 8 to 10 per cent., not merely 1 1-2 per cent.,
as falsely claimed by Republican partisan "experts."
How Republican favoritism to privileged pets fosters monopolies apd high
prices— 238 trusts formed since enactment of Dingley high tariff tax law
Chart showing purchasing power of wages, 1895-1904— Labor's share of
the product of the wealth which labor creates rapidly declining.
REPUBLICAN CLAIM THAT INCREASE IN WAGES HAS KEPT PACE WITH
INCREASE IN COST OF LIVING SHOWN TO BE UNTRUE,
AND BASED ON "COOKED" STATISTICS.
The increased cost of living, due to the [Republican policy of
exorbitant tariffs, is felt in every home in the land. Housewives
know that because, for example, of the beef trust, meat costs from
3 to 10 cents a pound more now than it did formerly; working-
men know that their clothing costs more because of Republican
high tariff taxes ; mechanics know that the tools and implements of
their trades cost more than they should, or would, cost but for Re-
publican policies ; business men know that the typewriter for which
they must pay $100 costs only $55 when sold to a foreigner; rail-
road men know that American steel rails are sold in Japan for $18
to $20 a ton, while from American railroads the steel trust extorts
a ton — in short, the Republican tariff system is devised, not as
The Tariff and Trusts. 123
falsely claimed to protect labor, but to enable certain huge con-
solidated institutions, know as trusts, to bleed the American people.
By pooling interests at home the trusts eliminate domestic compe-
tition, and there is' no foreign competition because of the high tariff
taxes imposed by a Eepublican Congress and enforced by a Eepubli-
can administration.
The result of this unjust system — increased cost of living to
employees and employers alike — is too self-evident to be denied. In
a speech at Wilmington, Delaware, on June 6, 1904, Secretary of
the Treasury Leslie M. Shaw said: "May the good Lord deliver
us from another period when living expenses are cheap ;" then Mr.
Shaw endeavored to satisfy labor with the increased cost of living
by asserting that wages have so vastly increased as to more than
compensate for trust prices of beef and the other prime necessities
of life. The Eepublicans gravely announce that while the increase
in the cost of living in the ten years ending in 1903 has been 15.5
per cent, the increase in wages during the same period has been
16.6 per cent., or a net increase in wages of 1.1 per cent. Even
according to these figures, the showing is a severe commentary on
the Eepublican boast that high tariff taxes benefit labor. Allowing
for the increase in the cost of living the net increase in wages is only
1.1 per cent., surely a not very liberal increase for the ten-year
period when we consider that within the past ten years new econo-
mies and new inventions have so increased the productiveness of
labor that in all right and equity its wages should show a much
larger gain than that of 1.1 per cent., which is all that the Eepub-
licans claim has been made.
But the humbug of the Eepublican boasts will appear still more
striking when it is seen that even the pitiful 1.1 per cent, increase
is fraudulent and exists only in the imagination of Eepublican poli-
ticians. The Eepublican campaign book gives official endorsement
to the absurd figures and deductions of the report on wages and
cost of living which the Hon. Carroll D. Wright, United States
Commissioner of Labor, has prepared, ostensibly as an official docu-
ment, but in reality, it seems, for the special use of the Eepublican
campaign committee. The evidence sustaining this charge seems
well-nigh conclusive. In his Wilmington (Delaware) speech of
June 6, 1904, Secretary of the Treasury Leslie M. Shaw, alarmed
at the growing discontent of the people over the constant increase
of prices demanded by the trusts for most of the necessities of life,
admitted that prices were high, asserted that it is "unimportant
what price we pay, so long as we pay it ourselves," and then added
this, in the light of subsequent developments, most significant state-
ment: "Before the campaign proceeds very far there will be fur-
nished from the highest authority in the United States well au-
thenticated data showing that the average of wages has increased in
larger proportion than the average articles of ordinary household
consumption." This meant that Commissioner Carroll D. Wright,
of the United States Department of Labor, had taken the contract
to supply the statistics desired.
124 The Tariff and Trusts.
Promptly on schedule time Commissioner Wright furnished the
figures alluded to by Mr. Shaw, and proving what the Republican
campaign committee wanted; and those figures have been incor-
porated in the Republican campaign text-book, and are being quoted
by Republican papers all over the country as proof that, although
the trusts fostered by Republican policies did raise prices, yet wages
also are raised, so that the people can afford to pay the higher prices.
The absurdity of Commissioner Wright's figures is almost self-
evident, but that does not deter the Republican committee, which is
accustomed to use "cooked" statistics and "fake" averages so as to
mislead voters.
ABSURDITY OF REPUBLICAN "AVERAGES."
If two men make a savings bank deposit, the one of $999, and
the other of $1, the average deposit is $500. Would the $1 man be
worth $500 because of this "average"? By putting dried bugs
and a score of similar articles on the free iist Republicans point
with pride to a tariff that lets in untaxed more articles than were
admitted free under the Democratic tariff ; but what absurdity this
is to a nation of people that wants untaxed clothes and tools and
other necessities, and cares not whether bugs are taxed or untaxed !
The Republican committee's "expert," by pursuing this plan of
grouping unimportant articles with articles of prime necessity,
makes it appear that the increase in the cost of living under Repub-
lican trusts and high tariff taxes amounts to only 15.5 per cent.
The increase in essential articles has been much greater than this,
and the unduly low increase of 15.5 per cent, is obtained only by
including certain articles which are not generally consumed. To
illustrate how misleading Republican "averages" are, suppose, for
example, that the increase in the price of eggs has been 10 per cent.,
while the decrease in the price of nutmegs has amounted to 14 per
cent. ; this shows an "average" decline in the cost of living, but of
what avail would such a "decline" be to a people with whom eggs
are a prime necessity, and with whom it matters little or nothing
whether nutmegs are cheap or dear? The average American con-
sumes an average of about 17 dozen eggs in a year at an average
price of about 20 cents per dozen; consequently his egg bill is
$3.40 a year; an advance from 20 to 22 cents is an advance of
10 per cent, in the cost of living, so far as eggs are concerned. The
average American consumes about l-40th of a pound of nutmegs in
a year at an average price of 35 cents a pound, and his nutmeg bill
therefore is less than 1 cent a year ; if the average price of nutmegs
declines to 30 cents a pound that is equivalent to a 14 per cent,
decline in the cost of living, so far as nutmegs are concerned.
Now, supposing that eggs and nutmegs constituted the entire food
stuffs of mankind, would it be fair to take the average of these
prices of eggs and nutmegs and say, because eggs had increased 10
per cent, and nutmegs had decreased 14 per cent, that there had
been a decrease of 2 per cent, in the cost of living? To ask this
question shows its absurdity; and yet it is on "averages" based upon
The Tariff and Trusts. 125
this ridiculous method that the Republican campaign committee is
making the claim that wages have increased faster than the increase
in the cost of living.
Official statistics, which seem to be made to order for the Repub-
lican campaign committee, give the prices of 52 articles in the
group of foodstuffs, and in order to bring out a result agreeable
to the Republican committee the group of articles comprises such
irrelevant and unessential foodstuffs as nutmegs. The price of nut-
megs for the year 1901 was 45.7 per cent, below the average for the
10 years ending in 1899, while the price of eggs was 6.7 per cent,
above this 10 years' average. Hence, so far as these two items are
concerned, the cost of living in 1901 is nearly 20 per cent, below
the average for 1890 to 1899. Such are the figures compiled by
Commissioner Carroll D. Wright and gravely published to the coun-
try by the Republican campaign committee ! As a matter of fact
the cost of living was nearly 7 per cent, higher in 1901 than dur-
ing the period of 1890 to 1899. The items in Commissioner
Wright's foodstuffs table of prices are "averaged" without any re-
gard whatever to the yearly value of each article in consumption.
For example, the price of pepper, of which the average American
consumes about 4 cents' worth in a year, is included by Commis-
sioner Wright, and is permitted to affect his statement of general
averages as much as the price of coffee, of which the average Amer-
ican consumes $1.60, or exactly 40 times more than pepper. Vinegar
is given by Commissioner Wright the same weight as milk, currants
as lard, bicarbonate of soda as fresh beef, salt as pork and beans^
evaporated apples as granulated sugar, dried apples as potatoes.
The price of alum affects Commissioner Wright's average as much
as does the price of corn; yet, as is known to every one, the value
of the alum consumed by the American people is but a trifle com-
pared with the value of corn. Large increases in the cost of such
prime necessities as cotton, wheat, steel rails, bricks, coke, milk,
steel billets and cattle, are offset, in the tables of Commissioner
Wright, by slight declines in such relatively unimportant commodi-
ties as quicksilver, wood screws, putty, candles, door knobs and
prunes and raisins. The grouping together of articles of such un-
equal importance is enough of itself to deprive Commissioner
Wright's tables of any value.
They are still less trustworthy because of the fact that inside of
each gsoup the classes of articles are improperly balanced. Thus,
Commissioner Wright's tables assume that one-tenth of the average
family expenditures for cloth and clothing goes for sheetings,
whereas in reality less than one-thirtieth goes for sheetings ; in spite
of this, the prices of sheetings are permitted to affect Commissioner
Wright's general price level as much as the price of cotton, corn,
hay, hogs, wheat and eggs. The truth is that the prices of these
farm products have 200 or 300 times as much influence upon the
general price level as do the prices of sheetings.
126 The Tariff and Trusts.
GROUPS IMPROPERLY BALANCED.
Not only are the items on which prices are quoted not weighed
with regard to their importance as articles of sale or consumption,
but the groups are improperly balanced with each other. This is
proven by Mr. Wright' s own figures of March, 1902, published in
this same report. On page 208 we find the following table, showing
the main groups of family expenditures and their relative propor-
tions as determined by the ascertained expenditures of a large num-
ber of families which were considered typical of the expenditures of
the mass of the people :
DISTRIBUTION OF EXPENDITURE FOR 2,561 NORMAL FAMILIES.
Per cent, of Proportions
Group. Expenditure for of
each Purpose 10.000.
Kent 15.06 1.506
Food 41.03 4.103
Fuel 5.00 .500
Clothing 15.31 1.531
Lighting 90 .90
All other purposes 22.70 2.270
100.00 10.000
This table shows that the average family spends nearly three times
as much for food as for clothing. In his table of relative prices
Mr. Wright quotes 53 articles of food and 70 for clothing. To be
consistent he should either have quoted 188 articles of food or only
26 articles of clothing. The average family spends seven times as
much for food as for fuel and lighting. Mr. Wright quotes 13
different articles of fuel and lighting and 53 of food. Either the
53 should have been 90 or the 13 only 8. Clearly Mr. Wright has
condemned his own price statistics. Has he done worse?
COTTON CLASSIFIED AS A "FARM PRODUCT"-
WOOL AS "CLOTHING."
Most people would say that if cotton is a farm product, so is wool.
But most people are neither statisticians nor Republican politicians.
The experts in the bureau of labor tell us that cotton is a farm
product while wool is an article of clothing.
It would appear that cotton was classified as a farm product be-
cause in 1901 it showed an advance of 11.1 per cent, in price over
the average price from 1891 to 1899, and that wool was classified
as cloth or clothing because its price for 1901 showed a decline from
the average price for 1891 to 1899 — and this notwithstanding the
high duties on wool in 1901 and the three years of free wool from
1894 to 1897. Ohio fine fleece wool, scoured, shows a decline of over
1 per cent, for 1901 and Ohio medium fleece, scoured, shows a de-
cline of over 5 per cent, for 1901. By calling these two kinds of
wool cloths or clothing, the average price of cloths and clothing is
reduced and the average price of farm products is left much higher
The Tariff and Trusts. 127
than it should be, both desirable results from a Eepublican stand-
point.
Had these wools been put in with farm products the average price
of farm products for 1901 would have been reduced from 116.9 to
114.6. This result would have been much less satisfactory to the
farmers. Possibly for similar reasons green, salted, packers' heavy
native steers' hides, which show a rise of 32 per cent., are classified
as "farm products." Possibly it was largely to please the farmers
that Mr. Wright, as he says, has invariably taken only the prices
for the best quality of butter, eggs, etc., and the lowest quotations
for drugs, chemicals, etc. Certainly an expert statistician need not
be blind to the political effects of figures !
If any other proof of the utter unreliability of the Eepublican
campaign committee's "expert" figures is needed, it would be found
in the fact that Commissioner Wright's conclusion as to the advance
in the cost of living is based on retail prices, instead of wholesale
prices. Wholesale prices are, comparatively speaking, stable; they
are practically the same in different cities, certainly the same in
different stores in the same city on the same day. Being thus more
uniform, it is easier to detect error, if mistakes or misstatements
are made in tables of wholesale prices. But Commissioner Wright's
tables of retail prices, however full of error, defy correction because
of the well-known fact that retail prices differ widely in the same
city and on the same day, especially for unimportant commodities.
An agent for the United States Bureau of Labor would find one
family paying 20 cents a pound for porterhouse steak, while the
family next door was paying another butcher 30 cents a pound for
the same thing. One family would pay 12 cents and the next fam-
ily 35 cents per pound for coffee. One would pay 30 cents, another
would pay $1.80 per pound for tea, etc. The "best fresh laid eggs"
sell in one store for 18 cents, and in another on the same block at
30 cents per dozen. Even so staple a commodity as granulated
sugar is sold in the same stores in the same city on the same day at
varying prices. Kerosene oil of the same quality may sell at retail
at 6 cents in one city and at 12 or 14 cents in another city twenty
miles away. This lack of uniformity in retail prices furnishes an
opportunity for unscrupulous politicians to select their quotations
in different localities and from different families, and to juggle
prices so as to get whatever results they desire.
So manifestly unjust and incorrect is this system of obtaining
averages, that even so staunch a Eepublican organization as the
Protective Tariff League refuses to descend to the use of pretended
quotations of retail prices. On page 44 of its 1904 handbook in an
explanation of Dun's index number, it is stated : "Owing to the im-
possibility of obtaining accurate retail prices, wholesale quotations
are taken." Why does Commissioner Wright's bureau of labor seek
to accomplish the impossible by giving retail prices ? Is it because
errors in tables of wholesale prices are easily detected, while those
in retail prices cannot in the nature of the case be exposed?
Commissioner Wright admits that his report on retail prices in-
128 The Tariff and Trusts.
eludes only foodstuffs ; it is known that foodstuffs form only 42.54
per cent, of a family's average expenditures for all purposes. In
spite of this fact that Commissioner Wright's report includes less
than half of a family's total expenses, he boldly draws the con-
clusion that "the increase in the cost of living, as a whole in 1903,
when compared with the year of lowest prices, was less than 15.5
per cent., the figure given above as the increase in the cost of food,
as shown by this investigation." Most statisticians would hesitate
to conclude a family's expenditures upon data showing the prices of
articles constituting only 42 per cent, of the family's total expenses ;
but such hasty inferences seem easily made by Commissioner Wright
when the figures are wanted for the Republican campaign text-book.
Having by these absurd and illogical methods reached results as
to the increase in cost of living that are satisfactory to the Republi-
can National Committee, the "experts" next proceed to evolve
wage statistics that can be used as Republican campaign material.
They artificially raised wages in 1900 by the simple device
of dividing the total wages paid in any industry, not by the average
number of employees for the year, as was done in the 1890 census,
but by dividing the total of wages by an "average" number of em-
ployees obtained by taking the averages for months during the time
covered, and dividing the sum of these monthly averages by 12,
the number of months in a year. If all industries had been operated
steadily for the whole of the census year this change in arriving
at an average would have amounted to little, but many impor-
tant industries were in operation only 6 or 8 months during the
census year ; hence the Republican "experts' " change of method pro-
duced a very great effect upon the apparent amount of wages. Had
they pursued the same method in 1900 as was pursued by the census
of 1890 the decline in wages of the 5,314,539 wage earners in our
manufactories instead of being only 1£ per cent, would have been
between 8 and 10 per cent, during this period. The Republican
campaign committee prefers, of course, to show that wages have de-
creased only 1£ per cent., and not 8 or 10 per cent., hence the new
method of arriving at a general average.
RAISING THE WAGES IN MICHIGAN AND WISCONSIN.
An illustration of the effect of this change in census methods is
found in the statistics of Michigan and Wisconsin, the two leading
States in the lumber and timber industry. Including this "short
period" industry the average yearly earnings in all manufacturing
industries in Michigan increased from $369.82 in 1890 to $409.39
in 1900. Omitting this industry, the average earnings showed a
decrease of $11.40 a year. Thus an apparent increase of $39.57 is
changed to a decrease of $11.40, making a difference of $50.97.
The difference in Wisconsin amounts to $56.38 by the omission of
this one industry. Apparently there was an increase in average
earnings in the lumber and timber industry in Michigan from
$286.30 in 1890 to $424.52 in 1900, and in Wisconsin from $235.15
to $436.85. But in the kindred industry, "planing mill products,"
The Tariff and Trusts. 129
which ran the entire year and was, therefore, not seriously affected
by the changed census method of computation, average earnings
decreased in Michigan from $415.24 to $381.13, and in Wisconsin
•from $405.69 to $377.72.
If the canning and other "short period" industries were omitted
the reduction in average earnings from 1890 to 1900 in Michigan
and Wisconsin would be much greater.
Of course, this method of computing "averages" leads to numer-
ous statistical absurdities in our census reports. In many indus-
tries the "average" number of wage earners is given as less than
the least number employed at any one time during the year. It
will be seen by Census Bulletin No. 209, giving statistics of the can-
ning of fruits, vegetables and fish, that while the greatest number
of wage earners employed at any one time during the year was
133,106 and the least number employed at any one time was
45,106, the average number is reported as but 36,401. In the manu-
facture of building glass we find the greatest number of employed
given as 19,943, the least number as 16,059, and the average num-
ber was 11,902.
HOW THE DINGLEY BILL FOSTERS TRUSTS AND RAISES PRICES.
To claim that a protective tariff does not raise prices is as absurd
as1 to say that ice is hot, or fire is cold, or that a ball is square. A
tariff that does not raise prices is not "protective." The very ob-
ject of so-called "protection" is to enable certain manufacturers
to demand and to receive higher prices for their products than they
could do were their customers free to buy in the cheapest market.
The Dingley Tariff Act, which became a law on July 24, 1897,
raised duties to the highest point ever reached in this if not in any
other country. Not only are the Dingley duties as high as in the
opinion of Eepublican leaders is necessary to protect manufactur-
ing industries, but those duties were purposely made higher on cer-
tain classes of articles so as to leave a trading margin; that is to
say, so that there would be ample protection left after this margin
had been bartered away in the reciprocity agreements which were
to be negotiated under Sections 3 and 4 of the Dingley Act.
But the trusts concluded that they might as well keep all of
their protection, and consequently they saw to it that the ten or
twelve treaties which were negotiated between the United States and
certain foreign countries in 1898 and 1900, and which would have
reduced many of our duties by 20 per cent, or more, were never
ratified. Through the influence of the trusts these treaties were
smothered in Senate pigeon-holes and never permitted to come to a
vote. How fostering is the care given the trusts by the Dingley
Bill is pointed out by Mr. John Moody in his book, "The Truth
About Trusts." Of 318 active industrial trusts mentioned in Mr.
Moody's table, only 80 were in existence prior to the Dingley BilPs
becoming a law. Two hundred and thirty-eight trusts have been
formed since the enactment of the Dingley Bill, and these 238 trusts
represent five-sixths of the local capitalization of all the trusts in
America.
130 The Tariff and Trusts.
SOPHISTICAL STATISTICS MADE TO DECEIVE VOTERS.
We have seen that the government statistics on wages and prices
are unreliable and inaccurate ; that the methods employed in making
them are the unscientific ; that many of the "averages" in the census
wage statistics are mathematical absurdities, useful, however, in
raising wages on paper; that the price of statistics of the Bureau
of Labor, even if accurate, are absolutely unprepared for index
numbers which will indicate the relative cost of living at different
periods; that they give as much importance to putty, nutmegs,
trowels, vises and alum, as articles of consumption, as to corn, hay
and eggs; and that they make cotton a farm product and wool an
article of clothing.
Apparently these governmental statistics, juggled for partisan,
political and protection purposes, are intended to misrepresent facts
and to deceive voters, and are issued when they are expected to do
most good for the Eepublican party. These facts discredit, in
advance, the wage statistics and the cost of living statistics which
Secretary Shaw says "will be forthcoming before the end of the
present campaign. " It would hardly seem possible that the Repub-
licans can this year, with the cost of living abnormally high and
with wages falling and mills closing and railroads and stores laying
off employees by thousands, fool voters with any kind of juggle
figures or sophistical statistics. The facts are plain and palpable.
The Republicans cannot, this time, shirk responsibility or shift it
to the Democratic party.
PRICES PROPORTIONED TO CONSUMPTION.
DUN'S PRICE TABLES ARE SCIENTIFIC AND ACCURATE.
Dun's index number is published monthly in Dun's Review, and
also in the Monthly Summary of Commerce and Finance of the De-
partment of Commerce and Labor, under the title, "Prices Propor-
tioned to Consumption." The following explanation of its method
of preparation is taken from this Government report for April,
1904:
"In the following table the course of prices of commodities is shown
with due allowance for the relative importance of each. Quotations of
all the necessaries of life are taken, including whiskey and tobacco, and
in each case the price is multiplied by the annual per capita consumption,
which precludes any one commodity having more than its proper weight
in the aggregate.
"For example, the price of a bushel of wheat is multiplied by 5.55, rep-
resenting the annual per capita consumption of 4 2-3 bushels of food,
and the remainder as allowance for seed. The price per pound for coffee
is taken 9 times, of cheese 2.3, of chemicals only fractions of an ounce
in some cases. Thus, wide fluctuations in the price of an article little
used do not materially affect the index, but changes in the great staples
have a large influence in advancing or depressing the total. For conve-
nience of comparison and economy of space the prices are grouped in seven
classes: Breadstuff s include many quotations of wheat, corn, oats, rye,
barley, beans, and peas; meats include live hogs, beef, sheep, and many
provisions, lard, tallow, etc.; dairy and garden products embrace eggs,
vegetables, fruits, milk, butter, cheese, etc.; other food includes fish,
liquors, condiments, sugar, rice, tobacco, etc.; clothing covers the raw
material of each industry, and many quotations of woolen, cotton, silk,
The Tariff and Trusts. 131
and rubber goods, as well as hides, leather, boots and shoes; metals in-
clude various quotations of pig iron and partially manufactured and
finished products, as well as the minor metals, tin, lead, copper, etc., and
coal and petroleum; miscellaneous incluae many grades of hard and soft
lumber, lath, brick, lime, glass, turpentine, hemp, linseed oil, paints,
fertilizers, and drugs. The third decimal is given for accuracy of com-
parison; thus $101,587 representing $101.58 and seven-tenths of a cent.
This figure does not purport to show the exact average amount cost of liv-
ing on January 1, 1902, because wholesale prices are taken and all
luxuries omitted. Its economic value is in showing the percentage of
advance or decline from month to month."
To show how careful Dun's Review is to quote accurately and to
weight properly, note the following further explanation from Dun's
Review of September 7, 1901 :
"In many cases a large number of quotations are averaged in order
to secure a representative price for the commodity, thus avoiding the
special effect on one particular grade of exceptional conditions. Both
raw materials and manufactured products are included, preventing the
excessive influence of speculative operations in the former, since markets
for finished products are more stable. In these cases the per capita con-
sumption is so proportioned as to avoid duplication."
This explanation of the Dun price tables not only indicates what
is a strictly scientific system, it also condemns the Bureau of Labor
methods as unscientific and unreliable. The Dun price tables are
prepared by the leading commercial authority of this country. They
are not made in the interest of any political party or to bolster up
any tariff theory. The accuracy of these price tables as indicating
the relative changes in the cost of living has never been questioned,
even by the Bureau of Labor. Why the Labor Bureau should adopt
another and totally unscientific system is clear to those familiar
with the exigencies of Republican politics.
Following is a table showing the relative cost of living at differ-
ent dates :
DUN'S INDEX NUMBER FROM DUN'S REVIEW.
1890. 1897. 1900. 1902. 1903. 1904. 1904.
Jan. 1. July 1. Jan. 1. May 1. Oct. 1. Mar. 1. May 1,
Breadstuffs $13,765 $10,587 $13,254 $19,954 $16,696 $20,116 $18,692
Meat3 . . > 7.620 7.529 7.258 10.968 8.830 8.528 8.226
Dairy and garden. 12.675 8.714 13.702 14.737 12.609 14.547 15.401
Other food 9.935 7.887 9.200 8.742 9.171 9.469 10.268
Clothing 14.845 13.808 17.484 15.527 16.816 17.916 17.425
Metals 16.240 11.642 18.085 15.702 16.366 15.849 15.360
Miscellaneous ... 15.111 12.286 16.312 16.654 16.890 17.190 16.836
Total 99.191 75.455 95.295 102.289 97.378 103.615 102.208
The totals for June, July and August were $100,951, $97,192 and
$97,227 respectively — a slight decline since May, nearly all of which
decline, however, is confined to dairy and garden products. More-
over, this decline is no more than usually occurs in the summer
season; hence it cannot be inferred therefrom that prices are not
on the whole fully mentioned. The figures of the table indicate
that the cost of living was 6 per cent, greater in 1900 than in
1890; 31 per cent, greater January 1, 1900, than on July 1, 1897;
132 The Tariff and Trusts.
41 per cent, greater May 1, 1902, than July 1, 1897, and 43 per
cent, greater March 1, 1904, than July 1, 1897. The cost of living
was higher on March 1, 1904, than ever before in modern times.
Its previous high point was on May 1, 1902. Apparently it is
mounting higher and higher. It has made new records each year,
except 1903, since the trust era began with the passage of the Ding-
ley Bill in 1897.
Misleading as are the tables of the United States Bureau of Labor,
even these show that the average wholesale prices for the year 1903
were 26 per cent, higher than they were for the year 1897.
WAGES OF RAILWAY EMPLOYEES.
ACCURATE OFFICIAL STATISTICS OF ACTUAL PAYMENTS TO 1,312,537
WAGE-EARNERS REFUTE THE CLAIM THAT HIGH PRICES HAVE
BROUGHT PROSPERITY TO LABOR.
"Wages do not rise with prices. To assert that they do, or will, is
either ignorance or dishonesty." — J. E. Thorold Rogers, Professor of Politi-
cal Economy in the University of Oxford, author of "Six Centuries of
Work and Wages," etc.
Every railway corporation in the United States is compelled
by law to report to the Interstate Commerce Commission at Wash-
ington, the aggregate number of days worked during the year by
all its employees, and all those belonging to each class and the
precise sums paid in wages to all employees and to each class.
From these data the Commission's statistician figures averages of
daily wages which represent every workman employed during the
year and every dollar paid in wages. The number of employees
at the time the Commission's last report was rendered was
1,312,537. This is more than seven times the number in the
3,429 selected establishments and the 519 unrepresentative occu-
pations used by the Bureau of Labor as the basis of the estimates
which purport to show an advance in wages of 16.3 per cent, over
the average for the ten years from 1890 to 1899.
NOT TRUE THAT WAGES HAVE INCREASED PROPORTIONATELY
WITH THE COST OF LIVING.
Railroad labor affords the most accurate barometer of wages. A
large proportion of its employees are union men, whose wages are
comparatively steady. Now the wages of railroad employees, as
shown by the Interstate Commerce Commission, averaged nearly
the same in 1901 as they did 9 years before, in 1892. In 1902, they
were 1J per cent, higher than in 1901, and 5 per cent, higher than
in 1897, when they were the lowest. Here is a table from the Inter-
state Commerce Commission's report, which gives in detail the num-
ber of earners in each class of railway labor with their average daily
wages for the years mentioned :
The Tariff and Trusts.
133
COMPARATIVE SUMMARY OF AVERAGE DAILY COMPENSATION
OF RAILWAY EMPLOYEES FOR THE YEAR ENDING
JUNE 30.
(Average daily compensation in dollars.)
Class. United States.
1903. 1902. 1901. 1900. 1899. 1898. 1897. 1896. 1895. 1894. 1893. 1892.
General officers ....11.27 11.17 10.97 10.45 10.03 9.73 9.54 9.19 9.01 9.71 8.10 7.83
Other officers 5.76 5.60 5.56 5.22 5.18 5.21 5.12 5.96 5.85 5.75 8.10 7. St
General office clerks.. 2.21 2.18 2.19 2.19 2.20 2.25 2.18 2.21 2.19 2.34 2.25 2.23
Station agents 1.67 1.80 1.77 1.75 1.74 1.73 1.73 1.73 1.74 1.75 1.83 1.83
Other station men.... 1.64 1.61 1.59 1.60 1.60 1.61 1.62 1.62 1.62 1.63 1.65 1.6S
Enginemen 4.01 3.84 3.78 3.75 3.72 3.72 3.65 3.65 3.65 3.61 3.68 3.6?
Firemen 2.28 2.20 2.16 2.14 2.10 2.09 2.05 2.06 2.05 2.03 2.06 2.08
Conductors 3.38 3.21 3.17 3.17 3.13 3.13 3-07 3.05 3.04 3.04 3.10 S.08
Other trainmen .... 2.17 2.04 2.00 1.96 1.94 1.95 1.90 1.90 1.90 1.89 1.92 1.90
Machinists 2.50 2.36 2.32 2.30 2.29 2.28 2.23 2.26 2.22 2.21 2.31 2.29
Carpenters 2.19 2.08 2.06 2.04 2.03 2.02 2.01 2.03 2.03 2.02 2.10 2.08
Other shopmen 1.86 1.78 1.75 1.73 1.72 1.70 1.71 1.69 1.70 1.69 1.73 1.72
Section foremen 1.78 1.72 1.71 1.68 1.68 1.69 1.70 1.70 1.70 1.71 1.75 1.76
Other trackmen 1.31 1.25 1.23 1.22 1.18 1.16 1.16 1.17 1.17 1.18 1.22 1.23
Switchmen, flagmen,
and watchmen .... 1.76 1.77 1.74 1.80 1.77 1.74 1.72 174 1.75 1.75 1.82 1.86
Telegraph operators
and dispatchers 3.08 2.01 1.98 1.96 1.93 1.92 1.90 1.93 1.98 1.93 1.96 1.93
Employees — account
floating equipment.. 2.17 2.00 1.97 1.92 1.89 1.S9- 1.86 1.94 1.91 1.97 1.96 2.03
All other employees
and laborers 1.77 1.71 1.69 1.71 1.68 1.67 1.64 1.65 1.65 1.65 1.70 1.68
From the above table it will be seen that the greatest increase in
wages, excluding general officers, from 1897 to 1903, was only 14
per cent., or less than the increased cost of living during the same
period, according to Commissioner Wright's own table of retail
prices ; it is only about one-half of the increase in prices according
to Commissioner Wright's table of wholesale prices, and only one-
third of the increased cost of living, according to the honest and
scientifically constructed table of Dun. When the maximum in-
crease in wages is only one-third of the increase in prices, it would
be difficult to persuade any but a Eepublican politician that the
Dingley high tariff law is as of much benefit to the people as it has
undoubtedly proved to trusts and monopolies.
The fairest way to arrive at the true change in wages is not by
comparing the daily or weekly wage of one year with that of an-
other, but by comparing the total yearly earnings of one year with
those of another. This is done for railroad employees in the fol-
lowing table :
FROM STATISTICS OF RAILWAYS
BY INTERSTATE COMMERCE COMMISSION.
Table showing amount of compensation paid railway employees, number
of employees, average yearly compensation for each employee and rate per
cent, of increase and decrease for the period — 1895-1903 inclusive.
Total Com- Total N-um- Average % of In- Average % of In-
pensation paid ber of Em- Yearly crease Yearly crease
Year. R'y Employes. ployees. (6) each year (a) each
Wages. over Wages. over
1897. 1897.
1895 $455,508,261 785.034 $571.16* .022 $566.99 .003
1896 468,824.531 826,620 581.80 .033 567.16 .003
1897 465.601,581 823,476 564.33 565.41
1898 495,055,618 874,558 583.10 .033 566.06 .001
1899 522.967,896 928,924 579.95 .027 562.98 .004
1900 577,264,841 1,017,653 593.16 .041 567.25 .003
134 The Tariff and Trusts.
1901 610,713,701 1,071,169 584.75 .036 570.14 .008
1902 676,028,592 1,189,315 598.25 .06- 568.42 .005
1903 757,321,415 1,312,537 605.41 .072 576.99 .02
(a) This column of percentages was obtained by dividing total com-
pensation by total number of employees for average yearly wages.
(6) This column was obtained by dividing the mean between the
first and last days of the year, as explained in the text.
* Estimated for 1895.
All but the last two columns and the last line of this table is
copied from the speech of Hon. Charles H. Grosvenor in Congress,
March 28, 1904. To obtain the yearly averages, General Grosvenor
divided the total wages paid in any year by the mean number of
employees at the end of this year and at the end of the previous year.
Calculated in this way, the average wages were 7 per cent, higher
in 1903 than in 1897. Dividing the total wages of each year by the
number of employees on June 30, which is perhaps the fairer way
to make comparisons, the average wages in 1903 were only 2 per
cent, higher than in 1897^ instead of 7 per cent., as estimated by
General Grosvenor. Since 1903, there has not been even a 2 per
cent, increase in railway wages ; on the contrary, as is well known,
there have been material cuts in the wages paid railway labor, es-
pecially to such employees as are not members of labor unions. At
a conservative estimate, 200,000 men have been laid off with no
wages at all, and the wages of many classes of labor that were re-
tained have been reduced since 1903 by an average of 10 per cent.,
and this, in spite of the fact that the cost of living has continued
to advance, and on March 1, 1904, was 43 per cent, higher than on
July 1, 1897.
The table shows that the average daily wages of all classes of
railway employees has increased barely eight per cent. Even the
Bureau of Labor was forced to admit that the retail prices of
1903 were, on the average, 10.3 per cent, higher than those of
1890 to 1899. Bulletin No. 53 of the Bureau shows that the fol-
lowing articles have advanced more than eight per cent., and,
hence, more than the wages of railway employees:
Advance Advance
Articles. Per cent. Articles. Per cent.
Beans, dry 18.1 Fish, salt 8.4
Beef, fresh, roasts and stews. 13.1 Lard 26.7
Beef, fresh, steaks 12.9 Mutton and lamb 12.6
Butter 10.8 Pork, fresh 27.0
Beef, salt 8.8 Pork, salt, bacon 39.8
Cheese 9.4 Pork, salt, dry or pickled.. . . 29.0
Chickens 18.5 Pork, salt, ham 21.3
Corn meal 20.7 Potatoes, Irish 14.8
Eggs 25.3 Veal 14.9
The earnings of a day's labor in railway employment would
purchase less of every one of the articles in the foregoing list in
1903 than would the slightly lower wages of 1892 to 1899 at the
very much lower prices of the last decade. Jn order to know what
real wages are it is necessary to find out what the money received
as wages will buy. An advance in the amount of money received
The Tariff and Trusts. 135
which is accompanied by a general advance in prices which is pro-
portionately greater leaves the workingman in a worse position
than before. The foregoing shows the decrease in real wages
as applied to the purchase of articles of food. Bulletin Xo. 51
of the Bureau of Labor, shows that, on the basis of wholesale
prices, the advance in the cost of the following classes of com-
modities has so far exceeded the slight rise in the wages of rail-
way labor (as measured in money) that the purchasing power
of a day's work has decreased. As compared with what his day's
work would purchase in 1892 to 1899, the day's work of an average
railway employee will now purchase :
Of farm products but 90.8 per cent.
" Fuel and lignting materials " 72.3
" Metals and implements " 91.8
" Lumber and building materials " 88.9
" Drugs and chemicals " 95.8
" House furnishing goods " 95.5
" Miscellaneous commodities " 95.0
The average loss in purchasing power with regard to all classes
of commodities, as shown by the official statistics, is precisely five
per cent.
MONEY WAGES VS. REAL WAGES. . :
The real wages of labor are goods, not dollars. Men cannot eat
or wear money ; money can only be exchanged for goods, and until
60 exchanged the laborer cannot tell whether his wages are high
or low. Money wages may be going up, while actual
wages due to the higher prices of goods are going down.
This is actually what occurred from 1897 to 1903. The reverse
occurred from 1890 to 1897, as is clearly shown in the fol-
lowing chart. In this chart the dotted line "Bailroad Money
Wages" shows the course of the wages of all railroad employees;
the light line "Wholesale Prices" indicates the changes in prices,
according to Dun's index numbers. From 1890 to 1897 the dates
selected are January 1; since and including 1897 two dates each
year are selected — January 1 and July 1. The heavy line "Pur-
chasing Power Wages" shows the course of actual wages, that is of
wages with relation to the goods the laborer's money was able to
procure at the prices which were charged in the years mentioned :
*3>
The Tariff and Trusts.
CHART SHOWING PURCHASING POWER OF WAGES.
/895 /895 /897 /898 /899 /900 /ffO/ /9Q2 /903 /9<?#
/¥5
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/35
/30
/25
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90
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75
70
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135
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90
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The Tariff and Trusts. 137
From this chart it is seen that between 1895 and 1897 many-
wages suffered a slight decline, but because of a still greater decline
in prices real wages enjoyed a considerable increase. Further, it is
made plain that since 1897, in spite of a 7 per cent, increase in
money wages, there has been nearly a 30 per cent, decrease in real
wages, because of the fact that since 1897 the increase in prices
has amounted to more than 40 per cent. The rise in money wages
is not keeping pace with the rise in the cost of living. For this
reason, in spite of occasional apparent increases in money wages,
there has not been a time within the present generation when the
struggle for existence is as hard as it is now, or when the "full
dinner pail" is as small as it is to-day. The size of the "full dinner
pail" has been steadily diminishing since the advent of Dingleyism,
with its resultant trusts and monopolies.
LABOR'S SHARE OF THE PRODUCT OF LABOR IS RAPIDLY DECLINING.
The following table, compiled from census bulletins, shows the
percentage of increase in the number of wage earners and the
total wage paid in the United States, and in the five manufacturing
states of Illinois, Massachusetts, New York, New Jersey and Penn-
sylvania. The figures are for the ten years ending in 1900 :
United States
Illinois
Massachusetts
New Jersey
New York
Pennsylvania
It is seen from these figures that, considering the United States
as a whole, while the number of laborers increased 25.2 per cent.,
yet the total amount of wages paid to them increased only 23.2 per
cent. — equivalent to a net decrease of 2 per cent, in wages. In Illi-
nois, while the number of laborers increased 41 per cent., the total
wages paid them increased 34 per cent. — equivalent to a decline of
7 per cent, in wages. In New Jersey, the increase in the number of
laborers was 39 per cent., but the total wages paid them increased
only 32.7 per cent. In all of the great manufacturing States shown
above, the amount paid in wages has signally failed to keep pace
with the increased number of wage earners. Other census office
figures show even more conclusively that the laborer is not obtain-
ing a just or equitable share of the fruits of his toil. The follow-
ing table shows the percentage of the total value of products paid
to wage earners in the United States, and in the States named, in
1890 and in 1900, and also the percentage of decrease in the share
of the values they created which were paid in wages to the laborer :
Increase
Increase
of wage
of total
earners.
wages.
■» paid.
25.2
23.2
41.
34.
11.2
10.9
39
32.7
12.9
10.4
28.7
26.1
138 The Tariff and Trusts.
Percentage of total Percentage
value of products of decrease in
paid to wage wag^ earner*
earners. share of prod-
uct-valuea
from 1890
1900.
1890 1900
United States 20.2 17.8 11.9
Illinois 15.7 15.3 2.5
Indiana 18.8 17.7 5.9
Massachusetts 23.2 22.5 3
New Jersey 23.4 18 23.8
New York 21.7 18.8 13.4
Ohio 20 18.6 7
Pennsylvania 19.8 18.1 8.6
Ehode Island 23.3 22.3 4.3
The above table shows that in 1890 the wage earners of the
United States received in wages 20 per cent, of the value of all
the manufactured products for that year while in the year 1900 they
received in wages only 17.8 per cent, of the product value. Or,
in other words, the wage earner's share of the wealth that he sup-
plied the labor to create has been diminished year by year until
now he is receiving nearly 12 per cent, less than he did ten years ago.
And taking up the States shown in the table above, one by one, we
find that the wage earners' share of the product value during this
decade has decreased 2.5 per cent, in Illinois, 5.9 per cent, in In-
diana, 3 per cent, in Massachusetts, 23.8 per cent, in New Jersey,
13.4 per cent, in New York, 7 per cent, in Ohio, 8.6 per cent, in
Pennsylvania, 4.3 per cent, in Rhode Island.
THE AVERAGE AMERICAN FAMILY PAYS A TRIBUTE OF
$94 A YEAR TO PROTECTED TRUSTS.
The tariff question is a business proposition that concerns every
man, woman and child, for it taxes the average home $110 a year,
or more than one-tenth of the average family's total income.
There is an average of one and one-eighth tenths earners in the
average home. These contribute thirty days' labor each, or fifty-
four days' labor a year to the tariff-tax collectors. If this $110 went
as honest taxes to our government to meet necessary expenditures,
no fault would be found, though the tax would be considered ex-
tremely high. But only a very small part of this $110 can be
classed as legitimate taxes. By far the greater part goes to
million and billion dollar tariff trusts and monopolies, which
thrive now as never before in this country. These greedy trusts
levy a tribute of $94 a year upon the average home, while the
government collects an average of about $15 a year in tariff taxes;
the collection last year amounted to $3.49 per capita, or $16.52 per
The Tariff and Trusts. 139
family of 4.7 persons. Do the heads of these 17,000,000 families,
the voters, knowingly and willingly donate $94 a year to the hun-
dreds of trusts ? Do they love these trusts more than they love
their wives and children? If not, why should they vote to give
this $94 to trusts that do not need it rather than to keep the
$94 for their own families, who do need it ? An extra $94 a year
would mean much to the average family in the way of better food,
clothing and education.
EVERYTHING IS TARIFF TAXED.
The price of nearly every article used in the home is higher
because of the exorbitant protective tariff that the Republicans
are "standing pat" on. Every suit of clothes, every hat, every
piece of underwear, every pair of socks, every pair of shoes, every
collar and cuff, every tie is dearer because of the tariff ; every dress,
every piece of linen, silk or cotton, for the household; every ar-
ticle of furniture in the house; every piece of cutlery, glassware,
or pottery ware in the dining-room or kitchen; every piece of car-
pet or oilcloth in the house ; every pound of sugar, rice, soda, starch,
soap, borax ; nearly every article of food on the table — all of these
are made dearer by the tariff and nearly all are made by tariff
trusts that put prices as high as possible. Few people realize that
they are paying tariff taxes when they are trading at a store.
They know, or at least the women, who are the pursers or commis-
saries of most families, know that prices have greatly increased
during the last five or six years, and that never before was it so
hard to supply the household needs with the money at their dis-
posal. They know that a dollar does not go as far as it used to
go, though many do not suspect the cause. If they did there would
be but little peace in the ordinary family until the voters stopped
voting this annual contribution of $94 a year to the protected
trusts.
GOVERNMENT ESTIMATES OF FAMILY EXPENSES INACCURATE.
The estimate of the tariff tax paid by the average family is
based largely upon the estimated expenditure of the family for
different articles and classes of articles. According to estimates
reached after careful study of the data of the censuses of 1880, 1890
and 1900, the consumption value of all products in the year 1903
was about $18,000,000,000, divided as follows :
Processes of Production. Values.
Raw Materials.
Farm products, at farms, less feed to stock. . .$ 4,500,000,000
Mine products 1,000,000,000
Forest products, not included in farm products 500,000,000
Fisheries . , 1 100,000,000
$6,100,000,000
140 The Tariff and Trusts.
Manufacturing.
Values added to products by manufacturing. . 6,400,000,000
Transportation.
Values added by railroads, water traffic, ex-
press, telephones, etc 2,500,000,000
Trade.
Values added by merchants, etc 3,000,000,000
Net value total product $18,000,000,000
Placing our population in 1903 at 80,000,000, Mr. Edward
Atkinson, the eminent economist and statistician, estimates
the value of the annual product of this country at $225
per head, or $585 per earner, about one person in every 2.6 per-
sons being employed for gain. This estimate does not appear to
be excessive. Mr. George B. Waldron, in his "Handbook on Cur-
rency and Wealth," estimates the value of the annual production
of wealth in 1890 at $13,640,931,866, or about $218 per head.
Now in calculating the annual expenditures of the average fam-
ily, in order to be on the safe side we will deduct for possible
error $2,000,000,000. This leaves $16,000,000,000 as the amount
expended, or, rather, the consumption value of the goods used by
our 80,000,000 people in 1903. As there were then about 17,000,-
000 families the average annual expenditure per family was about
$941. This includes the value of farm and other products con-
sumed at home and which did not enter into trade. Probably
about one-fourth of all farm products are consumed on the farm
that produced them. The proportion of most other products con-
sumed at home and without entering into exchange is much less.
Based partly upon this estimate and partly upon the census of 1900
as to the number of persons in gainful pursuits, we obtain the
following estimate of the
VALUE OF COMMODITIES CONSUMED BY DIFFERENT CLASSES.
Number of Value consumed.
Kind of occupation. families. Per family. By each class.
Agricultural pursuits 6,200,000 $835.00 $5,177,000,000
Professional service 800,000 1,200.00 960,000,000
Domestic and personal service... 3,200,000 550.00 1,760,000,000
Trade and transportation 2,900,000 1,180.00 3,422,000,000
Manufacturing and mechanical. 3,900,000 1,200.00 4,680,000,000
Totals 17,000,000 $941.18 $15,999,000,000
From these estimates it will be seen that the average family
consumes yearly a little over $940 worth of commodities. This
estimate includes the expenditures of employers as well as em-
ployees. Excluding the families of employers, manufacturers,
merchants, bankers, hotel keepers, mine owners, big farmers, ranch
owners, etc., the average family would probably spend less than
$800, and possibly less than $700.
FAMILY EXPENDITURES ANALYZED INTO GROUPS.
Let us now analyze the expenditures of this average family and
see what it buys with its $940 and estimate the amount spent
The Tariff and Trusts. 14*
for the various commodities and the amount of tariff tax upon
those commodities. Investigations have been made at different
times to ascertain the relative expenditures of families for the
main groups of commodities purchased, but unfortunately these
investigations have been confined to workingmen's families. We
are practically in the dark as to the relative expenditures for dif-
ferent commodities made by the families of farmers, professional
men and employers. The data contained in the seventh annual re-
port of the Commissioner of Labor of the United States, which :
was adopted by the Senate Finance Committee in its report made in^
1891 on wages, prices and cost of living, was based upon the "dis-
tribution of expenditures for two thousand five hundred and sixty-
one normal families." The report indicates that 15.06 per cent,
of their expenditures went for rent, 41.03 per cent, for food, 5 per
cent, for fuel, 15.31 per cent, for clothing, 9 per cent, for lighting,
and 22.70 per cent, for all other purposes.
The July (1904) Eeport of the Bureau of Labor, based upon new
estimates for 2,567 families, gives the percentage of expenditures
for the principal items entering into the cost of living of those
2,567 families as follows:
PERCENTAGE OF THE AVERAGE TOTAL EXPENDITURES OF
2,567 FAMILIES DISBURSED FOR THE PRINCIPAL ITEMS ENTERING
INTO THE COST OF LIVING.
Items. Per cent. Items. Per cent.
Food 42.54 Religious purposes 99
Rent 12.95 Charity 31
Principal and interest on Furniture and utensils 3.42
mortgage on homes 1.58 Books and newspapers 1.09
Fuel 4.19 Amusement and vacation. . . . 1.60
Lighting 1.06 Intoxicating liquors 1.62
Clothing 14.04 Tobacco 1.42
Taxes 75 Sickness and death 2.67
Insurance 2.73 Other purposes 5.87
Labor and other organiza-
tion fees 1.17 100.00
In 1902 the Massachusetts Bureau of Statistics of Labor gave
the results of an investigation of the earnings and expenditures of
152 workingmen's families; by families with incomes above $1,200
the percentage of expenditure for rent was 12.43 per cent; it di-
minished from 21.96 per cent, to 6.8 per cent, for families with in-
comes of less than $450. The average for food was about 49 per
cent.; fuel and light averaged 6.91 per cent. (7.91 for the poorer
families down to 4.49 for families with large earnings). Clothing
averaged 11.69 per cent. (9.15 per cent, for the $450 family up to
14.66 per cent, for the "$750 to $1,200" family). Families with
incomes less than $600 had almost nothing left for furniture, edu-
cation, newspapers, amusements, etc.
Based upon all these various estimates the relative expenditures
for various items are as indicated below. The table shows the prob-
able expenditure for each of the more important items entering
into the cost of living, and the estimated tariff taxes on each and
all of these items :
142
The Tariff and Trusts.
TARIFF TAXES PAID BY THE AVERAGE FAMILY IN 1903.
Yearly Expenditure of $940.00 Tariff-Taxes paid to
Per cent. U. S. Trusts,
Items. of total Amount (1903). etc.
Food (37% of all).
Meats (10% of all). %
Beef, veal and mutton 4.5 $42.30 $ .01 $2.49
Hog and hog products 3.8 35.72 .01 1.74
Poultry 1.1 10.34 .00 .20
Other "meats 6 5.64 .00 .10
Fish, including shell fish 9 8.46 .08 .92
Eggs 1.8 16.92 .00 .30
Milk 1.4 13.16 .00 .25
Butter, cheese and condensed milk 2.3 21.62 .08 .92
Bread 6. 56.40 .06 1.94
Sugar, molasses and confectionery 3.3 31.02 3.78 4.72
Vegetables 4.2 39.48 .10 2.40
Fruits and nuts 2.3 21.62 .33 3.67
Coffee, tea and cocoa 1.3 12.22 .13 .37
All other — rice, starch, condiments, etc. 3.5 32.90 .75 2.75
Liquors — beer, whiskey, wine, etc 7.8 73.32 .66 5.34
Tobacco, all forms 2.8 26.32 1.28 3.72
Clothing (14.6% of all).
Woolens 3.7 34.78 1.72 9.28
Cottons 3.9 36.66 1.63 6.37
Boots and shoes 2.3 21.62 .12 1.23
Silks, linens, laces, furs, rubber
goods, gloves, etc 4.7 44.18 2.00 9.00
Fuel and light (4.9% of all).
Coal,, anthracite 1.8 16.92 .01 .49
bituminous 1.3 12.22 .05 1.20
Gas, petroleum, wood, etc 1.8 16.92 .01 1.19
Rent 7. 65.80 .40 7.10
Building materials 5. 47.00 .30 5.20
Books and newspapers 1.5 14.10 .14 1.06
Furniture and utensils 4. 37.60 ,76 6.24
Implements and tools 3.8 35.72 .30 5.05
Sickness and death 2.2 20.68 .45 2.55
Taxes (on homes only) 8 7.52 .07 .63
Educations 3 2.82 .03 .27
Insurance (fire on homes) 7 6.58 .08 .52
Societies and unions 5 4.70 .10 .45
Religion and charity 1. 9.40 .15 .75
Travel 1. 15.98 .15 1.35
Amusements and recreation 2.5 23.50 .25 1.75
Other purposes 1.9 17.86 .53 .97
Totals 100.00 $940.00 $16.52 $94.48
Total tariff tax per family '. $111.00
TARIFF TAX PER FAMILY.
Space will not permit detailed explanation of how the estimate
of the tariff tax on each item in the table was reached, nor is such
explanation necessary; the methods of comparison and of mak-
ing deductions from official reports and other reliable data were
the same in all the articles, and it will suffice to give one or two
articles as illustrations; for example, the table contains the state-
ment that the tariff tax on boots and shoes is only $1.35 per fam-
ily, of which the government gets only 12 cents while the beef,
leather and other trusts get $1.23. This estimate was reached
The Tariff and Trusts. 143
in the following manner. According to the Hon. William B.
Eice, of Eice & Hutehins, one of the largest boot and shoe manu-
facturing concerns in the country, and according to other well
informed experts on boot and shoe matters, the duty of 15 per
cent, on hides put on by the Dingley bill in 1897, has entailed a
tax upon the American people of not less than $2,000,000 annually,
and has added from 5 to 8 per cent, to the cost of every American
made pair of boots and shoes.
Now what is "from 5 to 8 per cent, of the cost of boots and
shoes"? To answer this question we must know what the Amer-
ican people pay for their boots and shoes. The factory value of
leather boots and shoes produced in 1900 was $261,028,580. Our
exports were valued at $4,197,566. The retail value of boots and
shoes sold at home was approximately $345,000,000, to which
should be added $26,550,628 for custom work, making $371,000,-
000 as the total cost of leather boots and shoes. "Five to 8 per
cent." of $371,000,000 is $18,500,000 to $30,000,000.
Adopting a mean between these two extremes, we see that the
tariff adds to the cost of boots and shoes $23,000,000, or $1.35 per
family. Now the duty collected on imported boots and shoes and
on materials which enter in their manufacture amounts to only
about $2,000,000 a year; consequently the government receives
only 12 cents per family, leaving $1.23 for the beef, leather and
other trusts, as stated in the table.
An additional illustration may be given in the case of woolen
goods. The table states that the tariff tax paid by the American
people on woolen goods amounts annually to $11 per family.
This estimate is arrived at thus:
The factory value of woolens manufactured in this country in
1900 was $296,990,484. According to the Statistical Abstract the
raw wool retained for consumption amounted to 5.72 pounds per
capita in 1900 and to 5.74 pounds in 1903. As our population
increased more than 5 per cent, from 1900 to 1903, and as the
values of clothing of all kinds averaged 5 per cent, higher in 1903
than in 1900 — though the prices of wool were about the same — it
is fair to add 7 per cent, to the 1900 product to obtain the factory
value of woolens in 1903. This would make it $318,000,000.
The imports of woolen goods for consumption in 1903 amounted
to $19,302,007, on which a duty of $17,564,694 was collected,
averaging 91 per cent, on the foreign cost of the goods. Including
transportation costs from foreign countries the imported woolens
when they reached our shores were worth fully $38,000,000.
Adding together the values of woolens produced and imported
we get $356,000,000. Deducting $36,000,000 as used for other
purposes, there remains $320,000,000 as the factory and import
value of all woolens used for clothing. Adding 15 per cent, for
profits, we find that the total value of woolen materials ready to
make into clothing was, in 1903, about $368,000,000. The retail
value of all kinds of woolen clothing and goods was probably 60
per cent, greater, or $590,000,000. This gives an average of
144 The Tariff and Trusts.
$34.64 per family, which is far below Mr. Edward Atkinson's
estimate.
Our imports of raw wool in 1903 were valued at $21,258,031,
on which a duty of $11,631,048 was collected. Hence the total
duty collected on wool and woolens was $29,195,736, or $1.72 per
family. As only about one-tenth of our woolen goods arc im-
ported and as the tariff cost of these goods is, at retail, about $1.50
per family, it is reasonable to assume that the tariff cost of the
ten times as many domestic woolens is, at retail, $10.00 per family.
In the table the total tariff cost is estimated at $11.00 per family,
of which $1.72 went to the government.
AVERAGE FAMILY PAYS $94 A YEAR TO PROTECTED TRUSTS.
According to these estimates, which under rather than over esti-
mate the amount of the tariff tax, the average family spent in
1903, including the values of goods consumed at home, about $940.
Of this $940, $830 went for goods, $16.52 went as legitimate taxes
to the government, and $94 went to swell the profits of the
trusts and monopolies. That is, $1 out of every $10 expended by
an American family goes to protected monopolies. The tariff tax
therefore unnecessarily increases the cost of living 10 per cent,
and amounts to $1,599,000,000 for the 17,000,000 families in this
country. It is this tax which is mainly responsible for the un-
paralleled growth of trusts since the passage of the Dingley Act
in 1897, for the dangerous concentration of wealth in the hands of
a comparatively few, and for the rapid increase in the number of
multimillionaires. Every man who votes to "stand pat" on Ding-
ley "protection" votes to tax his family 10 per cent, a year on all
its expenditures and to turn the proceeds over to the monopolists,
who already own or control a majority of all the wealth of the
country.
TARIFF TAX PAID BY FAMILIES IN THE DIFFERENT VOCATIONS.
Although the amount of expenditures for tariff taxes varies in
the different classes of families, according to their incomes and
general expenses, yet it is approximately correct to say that the
percentage paid on account of tariff is about the same in the
various vocations.
The expenditures of the average family in the wage earning
classes probably does not exceed $780 a year. Those of the aver-
age family in the salary earning and professional classes will prob-
ably average $1,200. Those of the average family in the employ-
ing classes, exclusive of the farmers, will probably average $4,000
or $5,000 a year. We have then the following estimate of the
TARIFF TAX PAID BY THE AVERAGE AMERICAN FAMILY.
Wage earner's family $ 75 a year.
Salary earner's family 120 "
Professional man's family 120 "
Employer's family 400 "
The Tariff and Trusts.
MS
Grouping Employers and Employees and classifying families
according to occupations, we have the following estimates of the
TARIFF TAX PAID BY THE AVERAGE AMERICAN FAMILY
IN THE SEVERAL PURSUITS NAMED.
Number of Amount of Tariff Tax.
Kind of occupation. families. Per family. Total for U. S..
Agricultural pursuits
Professional service
Domestic and personal service.
Trade and transportation
Manufacturing and mechanical.
All occupations 17,000,000 $94.10 $1,599,900,000
From these estimates it will be seen that the monopoly feature
of "protection" costs the 17,000,000 families of this country ap-
proximately $1,600,000,000 a year.
6,200,000
$83.50
$517,700,000
800,000
120.00
96,000,000
3,200,000
55.00
176,000,000
2,900,000
118.00
342,200,000
3,900,000
120.00
468,000,000
THE DINGLEY TARIFF IMPOSES AN AVERAGE DUTY
OF 48.81 PER CENT.
TABLE SHOWING ARTICLES IMPORTED, AND THE AMOUNT OF TARIFF
TAX LEVIED UPON THEM FOR THE YEAR ENDING
JUNE 30, 1904.
On every $100 worth of dutiable goods brought into the United
States, a tariff tax of $48.81 is levied, thus making merchandise
worth only $100 cost the American consumer $148.81. The total
amount of dutiable goods imported for the year ending June S0r
1904, was $536,940,590, upon which was levied a tariff tax of
48.81%, or $262,013,079.
Following is a table showing leading articles imported in the
year ending June 30, 1904, the value of those articles, and the
amount of tariff duties imposed upon them by the Dingley tariff
law.
Imported Merchandise Entered for Consumption in the United States, Includ-
ing Both Entries for Immediate Consumption and Withdrawals from
Warehouse for Consumption, with Rates and Amounts of Duty
Collected During the YearlEnding June 30, 1903.
Average
T?atP« of Value Adva-
Articles. twV Quantities. Values. Duties, per lorera
^uty' unit of rate of
quantity, duty.
Agate— Manufactures of 60% $23,064 $$11,532 60.
Agricultural implements 20% 21,640 4,328 29.
Aluminum 8c. per lb. 686,727 196,634 54,938 .286 27,9*
Animals— Cattle 54,332 833,936 236,653 .14 28,38
Horses 25% & $30 per h. 1,955 278,686 70,807 142.54 25.2
Poultry (lbs.) 3c. per lb. 603,274 40,172 15,098 .08 37.5!
Total horses, cattle, sheep, 5 free 1.771,738
etc ^dutiable 2,685,994 631,290 23.50
Antimony free 4,774 852 97,917 .021 — —
As regulus %c. per lb. 6,018,985 363,065 45,142 .06 12.42
Articles specially imported free 467,8^8
The growth, produce of the
United States, ret'd free 7.915,828 892,013
146
The Tariff and Trusts.
Articles.
Rates of
Duty.
Art works 15 to 20%
Asphaltum & bitumen (tons).. 50c. to $3.00
Automobiles 45%
Beads and bead fabrics 35 to 60%
Beverages, cherry juice, etc..
Bismuth free
Bone and horn 30%
Books 5free
? dutiable
Brass 5 free
I dutiable
Breadstuffs, arrowroot, etc.. free
Cereal food, etc free
Bristles 7%c. lb.
Bronze — powder 12c. per lb.
Dutch metal 6c. per pkg.
Broom corn, manufactures of. 45%
Brushes, dusters, etc 40%
Carbons, electric lighting.... 90c. per 100
Buttons, or parts of
Cement, Portland, etc. (lbs ). 8c. per 100
Chalk, unmanufactured (tons) free
Not medicinal lc. per lb.
Chemicals, acids 5 free
I dutiable
Ammonia (lbs.) ■
bark (lbs.) He. per lb.
borax (lbs.) 5c. per. lb.
chicle gum (lbs.) 10c. per lb.
coal tar colors 30%
coal tar 20%
cocaine 25c. per lb.
gelatine (lbs.)
glycerine (lbs.) lc. per lb.
gums free
logwood %c. per lb.
mineral water 30c. doz. bot.
opium crude $1.00 per lb.
prep, smoke $6.00 per lb.
potash 5free
* dutiable
root* free
soda 5free
{ dutiable
sulphur (tons) free
sumac (lbs.)
tartar (lbs.) 6%
thirium (lbs.) 25%
tonquin free
vanilla beans (lbs.) free
wax free
alkalies 25%
medicinal 25%
All other chemicals free
Total chemicals 5 free
? dutiable
Clays, kaolin (tons) $2.50 a ton
all kinds (tons) 5 free
I dutiable
Clocks and parts of 40%
movements, cases, &c ■
Total watches and clocks
Coal— Anthracite free
anthracite 67c. per ton
bituminous 67c. per ton
slack 15c. per ton
coke 20%
Total coal and coke 5 free
} dutiable
Cocoa— total I tree
I dutiable
Coffee free
Copper, ores, etc free
Cotton, thread, yarn, etc 3 to 39*4%
cloth, sq. yds
other than ordinary warp.
handkerchiefs
plushes, etc 9 to 18c sq.y.
laces, curtains, etc 1% to 7%
total 5 free
} dutiable
— Avert
Value
ige
Adva-
Quantities.
Values.
Duties.
1
per
unit of
lorem
rate of
quantity.
duty.
3,680,811
623,944
18.
173,500
581,044
260,908
3.34
44.
317
963,998
433,799 3041.
45.
805,347
439,385
54
366,189
126,207
34.47
188,229
244,983
1.30
230,615
63,184
30.
2,443,168
1,827,922
456,285
24,96
560,997
50,625
22,983
45,40
36,935,253
618.982
.017
1,713,613
566,357
33.05
2,927,048
2,566,859
219,528
.877
8.55
1.869,763
518,144
224,371
.277
43,31
S29.676
75,663
49,780
.091
65.79
230,192
103,586
45.
— —
1,238,587
495,434
40.00
54,201
52,098
48,781
.961
93,63
1,107,803
523,074
47.22
1,088, 853, 909
3,516,274
871.083
.003
24.77
106,498
98,652
1
.927
1,374,069
26,763
13.740
.019
51. S4
766,929
155,531
74,172
47.69
40,424,913
1,206,774
158,029
23.6
11,992,419
340,539
69,962
.028
17.61
72.479
4,441
3,623
.061
81.60
S, 282, 803
779,140
328,280
.237
42.13
— —
6,252,610
1,575,783
30.
544,176
108,835
20.
224,463
66,113
25.
757,951
312,243
122,796
.40
39.
$4,211,490
2,804,915
342,114
.082
12.20
— — —
9,640,606
3,480,032
237,362
30,450
.068
12.83
584,513
469,758
175,354
.804
87,33
486,613
972,587
486,613
2.00
60.83
182,629
1,133,182
2,095,774
€.21
96.70
263,262,708
4,574,223
.017
6,599,791
742,273
151,649
133
20.43
1,836,968
■
252,131
7,737,405
30.69
614,778
212,434
34.65
180,174
3.547,005
■
19.69
15,015,309
249,971
49,453
16.00
19.78
29,310,203
2,719,063
135,953
098
6.
72,990
244258
61,064
3.35
25.
219,407
■ . 1
— _
621,745
1,032,654
— ■
1.98
____
7,439,262
733,679
.099
__
_____
807,585
201,896
1
25.
1,219,098
304,774
— —
25.
— — —
498,099
■
1
.
39,501,172
24,162,545
6,604,476
27.33
141,584
921,234
353,960
6.51
38.42
— —
99,560
—
____
1,284,056
443,041
34.60
485,519
194.207
40.
691,983
949,904
489,178
1.60
61.4
2,666,853
955,425
35.8$
210,998
967,639
4.59
.
131.377
614,973
88,022
4.68
14.31
1,118,458
3,789,550
749,373
3,39
19.77
498,559
899,348
74,784
1.80
8.33
122,553
414,017
82,803
3,38
20.
210,998
967,639
.
4,59
3,866,184
11,550,971
994,984
2,89
8.61
63,162,192
7,820,073
.124
993,179
291,252
48,232
.293
16.5$
915,149,143
59,207,173
.066
20,844,059
118,909
45,741
14,892
.38
.32
60,693,467
8,434,591
3,970,620
.14
38.08
3,566,039
706,060
313,779
.198
44.44
434,049
249,516
57.49
2,797,280
1,737,141
62.10
■
25,537,825
15,312.302
69.96
— —
11,778,598
51,706,978
27.758,625
-■
63.68
The Tariff and Trusts.
47
Articles.
Rates of
Duty.
Earthenware, tinted, etc 60%
stone and chinaw
Eggs, dozen Scents.
Feathers 15%
Fertilizers (tons) free
Fans 50%
Palm leaf free
Feathers, artificial, etc 50%
Fibers, unm 5 free
1 dutiable
yarns (lbs.)
bagging (lbs.) 6/10c. a lb.
bags from jute 7/8c. alb.
burlaps (lbs.) 5/8 to 7/8c.
all other 45%
twines
handkerchiefs, em 60%
hem 55%
Fiber*, laces, tidies, etc 60%
oilcloth 8c. and 15%
linoleums, etc 20c. and 20%
pile fabrics 60%
total $ free
? dutiable
Firecrackers 8 cents.
Fish, anchovies, sardines, etc.. 1% to 2%c.
herrings in tins 30%
cod, pickled, etc %c. a lb.
herring, pickled, etc %c. a lb.
mackerel 1 cent a lb.
total 5 f r«e
* dutiable
Fruits, bananas free
currants (lbs.) 2c. a lb.)
dates (lbs.) %c a lb.
figs (lbs.) 2c. a lb.
grapes (bbls.) 20c. cu. ft.
lemons lc. alb.
•olives, not in bot 15c. a gall.
oranges lc. a lb.
pineapples in bbls 7c. cu.ft.
-preserved comfits lc and 35%
raisins 2%c. a lb.
•total 5free
? dutiable
nuts, total 5 free
} dutiable
Total fruits and nuts ] free
? dutiable
Furs 5 free
* dutiable
'Glass, cylinder, crown and
common window, sq. ft.,
plate
'Glass total j free
2 dutiable
•Glue (lbs.)
'Gold and silver manufactures
Grease of wool %c a lb.
Gunpowder and Expl. Sub-
stances .
Hair, unmanufactured free
Hats, bonnets, hoods
Hay (tons) $4.00 a t.
Hides and skins (lbs.) 5 free
? dutiable
Hoofs, horns, etc free
Hops (lbs.) 12c. a lb.
India rubber, unmanufact'd. . free
manufactures
Iron and Steel.
Iron ore (tons) 40c. a ton
m pigs $4.00 a ton
scrap $4.00aton
bars or rails $7. 84 a ton
Steel ingots
sheets
saw plates (lbs.)
tin plates (lbs.) l%c. a lb.
wire rods (lbs.)
-wire round (lbs.)
— Average
Value
Adva-
Quantities.
Values.
Duties.
per
lorem
unit of
rate of
quantity.
duty.
1,169,684
701,810
60.
10,323,634
6,085,760
58.95
297,395
19,152
14,869
.064
7764
2,453,992
368,548
15.
458,009
3,081,057
6.73
528,889
264,444
50.
1,129,980
60,409
.061
2,554,834
1,277,417
50.
285,440
31,605,704
110.73
12,971
2,832,896
336.201
218.33
11.80
1,405,000
373,014
139,691
.85
37.40
5,417,039
213,098
32,502
.039
15.26
43,725,204
2,024,798
686,315
• 046
33.90
254,019,460
13,044,878
3,561,052
.051
27.20
1,111,263
500,068
45.
502,668
356,901
159,069
.71
44.67
1,360,421
816,289
60.
971.065
534,085
55.
892,262
535,357
60.
2,314,356
507,138
261,219
.215
51.51
939,216
563,060
300,455
.60
53.31
209,314
125,588
60.
32,114,898
— —
41,294,963
15,811,703
38.29
4,017,560
218,020
321,404
.054
147.2
23,610,060
1,454,264
405,320
.061
27.86
1,465,904
101,437
30,431
.069
30.
19,212,797
791,699
144,096
.041
18.30
46,963,941
1,721,879
234, 669
.037
13.64
15.211,528
1,119,523
152,115
.074
13.68
— — —
997,714
■
.,
■
7,218,153
1,267,194
17.66
29,711,301
8,534.762
.287
35,562,520
813,228
711,250
.028
25.
20,700,800
464,487
103,504
.022
22.28
14,670,000
696,744
293,400
.047
42.11
736,514
956,822
147,302
1.30
15.40
152,775,867
3,087,244
1,527,758
.02
49.48
2,115,844
770,194
317,376
.364
41.21
57,046.866
822,878
145,109
.027
25.90
2,072,994
559,125
145,109
.027
25.00
9,929,815
605,306
311,155
.061
51.40
6,965,815
433,004
149,145
.073
34.45
8.757,408
—
i
9,748,031
4,468,594
".
46.84
1.861,931
■
■
3,176,794
1,225,330
38.57
10,619,340
10,619,825
6,693,924
44 05
■
8,798,607
6,276,031
1,332,625
21.23
64,729,503
2,294,215
1,361,047
59.20
6,908,931
1,460,655
1,127,573
.21
77.19
229,660
..
.
6,969,958
4,303,509
61.74
6,456,175
589,218
170,364
28.90
1
734,832
343,107
46.69
12,684,195
284,004
63,421
.022
22.33
428,928
128,333
29.92
•2.708,439
3,728,834
858,990
23.04
293,203
■2,236,664
1,172,812
7.63
62.44
186,365,478
41.885,577
.225
131,705,012
16,116,392
387,619
1,777,046
2,417,458
.122
15.
5,999,937
719,992
.296
40.65
32,525,513
782,519
242,155
30.95
1,044,728
2,334,789
417,891
2.24
17.89
949,009
16,736,388
3,796,036
17.64
22.68
139,611
2,058,629
558,446
14.75
27.13
123,258
2,815,450
966,348
22.84
34.32
840,146,050
9,776,146
2,925,803
.012
29.93
18.476.759
299,659
91,380
.016
30.50
1,583,456
123,854
34,918
.78
28.19
109,210
3,219,841
1,638,154
.029
60.88
61,150,949
1,120,606
208,847
.022
18.64
6,607,297
347,774
142,472
.053
40. 9S
148
The Tariff and Trusts.
Articles,
Rates of
Duty.
beams (lbs.) „ %c. a lb.
card clothing 45c. sq. ft.
cutlery .
razors
scissors
knives
Total cutlery
Firearms $ free
} dutiable
Machinery not elsewhere
specified 45%
Total Iron and Steel J free
* dutiable
Ivory, vegetable free
tusks free
Jewelry J free
* dutiable
Lead
Leather, band, etc
gloves (doz. prs.)
Liquors.
Malt
distilled whiskey
champagne
wines
total spirits
Manganese free
Marble— onyx and stone free
Matches
Matting (sq. yd.) 8c. sq. yd.
other 7c. sq. yd.
Metals not elsewhere specified 45%
Mica— roub'h 6c. per lb.
Musical instruments 46%
Nickel ore (tons) free
oxide (lbs.) 6c. per lb.
Oils
Animal (gallons)
Mineral free
Vegetable 5 free
} dutiable
volatile $ tree
I dutiable
total oil Jfree
* dutiable
Paints and Colors
Paper stock, crude free
total and manufacture of..
Pearl, mother of free
Pencils— paper or wood ..45c. gr. ft 25%
&25%
Pipes and smokers' articles.. 60%
Plants, trees and snrubs iutiable
Plaster, rock or gypsum
Platinum free
Plumbago free
Provisions comprising meat
and dairy products
Rice, total lbs
Salt
Sausages and casings free
Seeds J free
i dutiable
Shells free
Bilk— unmanufactured free
manufactured
Soap— castile 1%c- a In-
fancy 15c. per lb.
Spices S free
2 dutiable
Sponges , 20%
Starch l%c. lb.
Stearin ° • %
Straw 30%
Sugar and Molasses (gallons).
Total molasses (gallons)
sugar not above 16 lbs...
above 16 lbs
all kinds
Pulphur ore free
Tea v. Jfree
^ dutiable
Quantities. Values.
,944,427 1,
Average
Value Adva-
Duties. per lorem
unit of rate of
quantity, duty.
699,722 .012 41.61
The Tariff and Trusts.
149
Average
... Rates of Value Adva-
Articles. Duty. Quantities. Values. Duties, per lorem
unit of rate of
quantity, duty.
Tin and manufacture! of.... 5 free 88,016,361 23,618,857
1 dutiable 90,764 40,844 45.
Tobacco and manufactures of. 28.808,536,586 18,298,780 21,892,109 .635 119.64
Type metal l%c. lb. 6,566,968 208,189 98,504 .032 47.31
Varnishes 35% 52,826 133,638 46,773 2.53 35.
Vegetables 4,449,057 1,609,527 36.18
Waste, not specially pro-
vided for 10% 536,441 53,644 10.
Wood, manufactured $ free 8,067,338
2 dutiable 13,709,937 1,888,744 13.7S
manufactured dutiable 6,333,808 1,342,092 21.19
Wool, Merino, Leicester & 3 to 33c.
Donskol (Class 1, 2 and 3) per lb. 179,651,037 21,258,030 11,631,041 .118 54.71
Yarns 335,062 174,569 189,125 .521 105.47
total manufactures of 19,302,006 17,564,694 91.
all classes of 40,560,037 29,195,736 71.9S
Zinc, total 56,230 21,489 40.37
SUMMARY OF IMPORTS FOR 1903.
Total free of duty, 1903 437,296,027
dutiable duty, 1903 570,664,082 279,779,228 49.02
Total entries for consumption, 1,007,960,110 280,762,197 27.85
1903
Entries for immediate con-, J free 484,902,683
Bumptlon, 1903 ? dutiable 454,961,335 195,273,549 42 93
Withdrawals from -warehouse 5 free 12,393,343 811,266
for consumption, 1903 $ dutiable 115,702,747 84,505,679 73.04
.penal duty 80,680
Total 128,096,091 85.397,626 66.68
SUMMARY OF IMPORTS FOR 1904.
Year ending June 30.
Total Imports (free $454,150,388
* dutiable 636,940,590 262,013,079 48.81
Total Import* $991,090,978
BUSINESS AND INDUSTRIAL RECORD, 1903-1904.
MORE FAILURES AND LABOR DISTURBANCES UNDER ROOSEVELT THAN
UNDER CLEVELAND.
The Republican campaign book for 1904, on page 125, contains a
list of business and industrial disturbances and failures for the
years 1893-1894, and draws the inference therefrom that "a Demo-
cratic administration makes hard times." It is well known even
to casual students of current history that the depression of 1893
had its inception prior to the election of Mr. Cleveland. So
true is it that the Federal Treasury in the latter part of President
Harrison's administration was hard pressed, that a Republican Sec-
retary of the Treasury, the Hon. Charles Foster, had caused plates
for bonds to be engraved ; and that the bonds were issued by a Demo-
cratic instead of a Republican administration was due solely to the
fact that President Harrison went out of office on March 4, 1893.
Had his term lasted two months longer he, and not President
Cleveland, would have issued the bonds which Republican politicians
are so fond of citing as proof of <fhard times under Democratic
rule."
The fact that it was President Harrison's Secretary of the Treas-
ury who engraved the plates for the bonds issued a few months
150 The Tariff and Trusts.
later by a Democratic administration, simply because the Republi-
cans went out of office too soon to issue them themselves, is sufficient
to convict the Republican party of insincerity in making this dis-
play of business failures during 1893-1894; further and still more
conclusive evidence on this point is afforded by the fact that the
Republicans utterly ignore the long list of failures which have
occurred during Roosevelt's administration. If the Democratic
party can fairly be held responsible for business failures in 1893,
why is it not equally fair to hold Mr. Roosevelt's party responsible
for business failures that occurred during a time when the Repub-
lican party was in power, and had been in power for seven consecu-
tive years? Republican insincerity, to use no harsher term, was
well exposed by the Hon. Edward M. Shepard in his recent speech
at Bennington, Vermont. After alluding to the fact that even Re-
publicans of the type of Secretary of State Hay indulge in the fool-
ish assertion that "hard times invariably follow Democratic suc-
cess at the polls," Mr. Shepard asked this pointed question :
"How much honest intelligence is there in the Republican af-
firmation that the Wilson tariff law, enacted on August 25, 1894,
produced a crisis, which, gathering during President Harrison's
last year, openly broke upon the country in May, 1893, seventeen
months before any tariff change?"
The following list of wage reductions and business disturbances
in the latter half of 1903 and first half of 1904 shows a more seri-
ous condition of affairs than is shown by the list for 1893-1894,
quoted on page 125 of the Republican campaign text book; in spite
of this, however, the Republican campaign book does not refer to
the business failures of the present period, because there is a Re-
publican administration at Washington.
TABLE SHOWING WAGE REDUCTIONS, 1903.
Firm or Corporation.
Textile Strikers of Philadelphia, Pa...
Atlas Tack Company, Fairhaven, Mass.
Furnace operators, Northern Dist. U. S.
Furnace operators, Lehigh Valley & N.J.
Empire Iron and Steel Co., Oxford, N. J.
Bethlehem Steel Works, Bethlehem, Pa.
Non-Union Sheet Mills, Pittsburg, Pa..
Reading Iron Co., Reading, Pa
American Sheet Steel Co., Pittsburg, Pa.
Cotton Manufacturers of Rhode Island.
Tennessee Iron and Coal Company....
Pennsylvania Iron Works, Lancaster, Pa.
American Flint Glass Workers
Number
Reduction.
of
Workmen.
10 to 15%
100,000.
20%
All employees.
20%
All employees.
10%
All employees.
10%
All employees.
10%
300 operatives.
20%
All puddlers.
11%
All puddler3.
Rollers, heaters,
20%
shearmen, ton-
nage men.
10%
25,000.
5%
Puddlers and fin-
ishers.
10%
Puddlers.
20%
1,000 workmen.
The Tariff and Trusts.
I5i
Firm or Corporation. Reduction.
Suncook Cotton Mills, Suncook, N. H... 10%
Lock Bridge Furnace, Alburtis, Pa 10%
Andover Iron Co., Phillipsburg, Pa 10%
Duplin Silk Mill, Hazelton, Pa
Bar Iron Manufacturers, Pittsburg. Pa. . 10%
Pacific Steel Co., Passaic, N. J 10%
Edwards Cotton Mills, Augusta, Ga 10%
Cotton Mills, Fall River, Mass 10%
DeWees Wood Plant, McKeesport, Pa. . . 30%
Somerset Coal Co., and others, Myersdale,
Pa 10%
Pelgram & Myer Silk Mill, Paterson, N.J. 15%
American Steel Foundry, Sharon, Pa. . . . 10%
Chicago and Alton Railroad 15%
Lake Shore Engine Works 10%
Wire Mills, U. S. Steel Co., Joliet, 111.. 10%
Demler Works, Amer. Tin Plate Co 20%
Amer. Sheet Steel Co., McKeesport, Pa, 20%
Blast Furnaces, Shenango & Mahoning
Val 10 to 20%
Chester Tin Plate Co., Chester, Pa 10%
Berkeley Mill, Providence, R. 1 6 to 18%
New Bedford Cotton Mills, New Bedford,
Mass 10%
New Britain Knitting Co., New Britain,
Conn 10%
Wire Mills, Waukeegan, Wis 12%
Missouri, Kansas and Texas Railroad.. 15c. a day.
Frisco Railway 15c. a day.
Missouri Pacific Railroad 15c. a day.
Wabash Railroad 10%
Carnegie Steel Works 10 to 30%
Passaic Steel Works, Passaic, N. J 10%
Independent Sheet Mills 20%
Wheeling Corrugated Works, W. Va... 20%
Adams, Mass. & Norwich, Conn., Cotton
Mill 10%
American Bridge Co., Penroyd, Pa 10%
Colorado Fuel & Iron Co., Pueblo, Col.. 10%
Machinists' Union, Youngstown, 0 5%
Limestone Interests, Mahoning Valley. . 20%
Quarrymen, Mahoning Valley 25%
National Tube Works 10 to 25%
Number
ot
Workmen.
1,500 workmen.
All operatives.
All operatives.
All operatives.
10,000 workmen
3,000 workmen.
1,500 operatives.
30,000 operatives.
Plate mill work-
ers.
All operatives.
All operatives.
600 workmen.
Section hands.
All employees.
1,000 workmen.
All workmen.
Heaters, rollers.
All employees.
All employees.
All employees.
11,000 operatives.
Part of employees.
All employees.
All section hands.
All section hands.
All section hands.
Car department.
All employees.
All employees.
All employees.
All employees.
13,000 operatives.
All workmen.
All workmen.
All members.
All employees.
All employees.
8,000 workmen.
CLOSED MILLS AND REDUCED OUTPUT, 1903.
Mo,,„a » Number
Firm or Corporation. SSf««n of
Reduction. Workmen.
Six hundred ovens Connellsville region.. Blown out. All men idle.
National Steel Co., Columbus, 0 Closed indef . All men idle.
Pencoyd Rolling Mill Closed indef. 2,000 men idle.
Lackawanna Iron & Steel Co Closed indef. 2,000 men idle.
Mammoth Tin Plate Mills .Closed indef. 1,500 men idle.
Anthracite Coal Company Red. 2ds. a w. 27,000 men idle.
«52
The Tariff and Trusts.
tr.rcA. „* Number
Firm or Corporation. X£?I?;™ of
Reduction. Workmen.
General Electric Co., Schenectady, N. Y.Laid off. 1,500 men idle.
•General Electric Co., Lynn, Mass Discharged. 1,000 men.
John P. Squire, E. Cambridge, Mass. .. .Discharged. 200 men.
Fore River Ship & Engine Co Discharged. 400 men.
Press Steel Car Co., Pittsburg, Pa Shut down. All men idle.
Lake Shore & Michigan R. R. Shops. .. .Reduced 1 hr. All employees.
Inland Steel Co., Indiana Harbor Shut down. 900 men out.
Builders' Exchange League, Pittsburg. .Lock out. 10,000 men.
Bar Iron Manufacturers Cut 33 1-3 hrs. 10,000 men.
Iron & Steel Mills of Pa Red. output. 98,000 men idle.
Struthers Steel Co Closed down. All men idle.
Woolen Mills, Til ton, N. H Closed down. 250 operatives.
Reading Railway Laid off 250 men.
Homestead Steel Company Closed indef. 2,000 men idle.
Illinois Steel Company Closed indef. 3,200 men idle.
Bayview Mills, Milwaukee Closed indef. All operatives.
Vanderbilt Shops Laid off. 1,500 men.
Southern Pacific Railroad Laid off. 1,200 men.
New York Central Railroad Laid off. 1,500 men.
Lake Shore and Cleveland Railroad. . .Laid off. 700 men.
Boston and Albany Railroad 15% of force.
Delaware and Hudson River R. R Laid off. 10% of force.
Wire Nail Works, South Sharon, Pa . . . Closed indef. All men idle.
Steel Mill, Lorain, Ohio Closed indef. 1,000 men.
Birmingham Rolling Mills, Ala Closed indef. 900 men.
American Car and Foundry Co Closed indef. 5,000 men.
Tin Plate Plant, Pittsburg, Pa Closed indef. 700 men.
New Kensington Tin Plate Mills Closed indef. 1,000 men.
Tube Plant, Greeneville, Pa Closed indef. 500 men.
Ohio Steel Company, Youngstown, 0... Closed indef. 1,000 men.
Republic Iron and Steel Co., Youngs-
town, O Closed indef. 1,500 men.
Sheet Mills in Ohio By spells. 4,000 men.
International Paper Co., N. Y. & N. E. .Closed. 15,000 men.
Ten Iron and Steel Plants, Birmingham,
Alabama Closed. 4,000 men.
Amalgamated Copper Co Compl. closure 14,500 men.
20 days.
Amalgamated Copper Co Resumed on
half force. 7,250 idle.
■Cambria Steel Company Reduced time. 13,000 men.
Kittaning Rolling Mills and Typewriting
Works Closed indef. All employees.
American Brick and Tile Works Closed indef. All employees.
Wabash Shops, Toledo, Ohio Reduction. 10% idle.
Mechanicsville Knitting Company Closed indef. All employees.
Bowden Felting Mills Company ; Half force.
National Steel Company Closed. 2,500 out.
Lake Superior Ore Region 91 furnaces out 57% 0f men idle.
of blast.
Pittsburg, Mahoning & Shenango region.60% out blast.
National Tube Co., Middletown, Pa. ,. .Closed. All employees.
Steel Car Forge Works, Elwood City, Pa.Closed 2 mos. All employees.
Shenango Works, Carnegie Steel Co., Pa.Closed sev.mos.All employees.
Pittsburg Works, Tin and Sheet Plate
Co., New Kensington Closed 4 mos. All employees.
International Harvester Co., Chicago. . .Laid off 7,500 to 19,000.
U. S. Steel Corporation 30% reduc. on
salaries of $40,000,000.
U. S. Steel Corporation 20% red. on
wages of $88,000,000.
The Tariff and Trusts.
153
■Mo+„^ ^ Number
Firm or Corporation. Reduction ™ <?f
Keouction. Workmen,
Anthracite Coal Operators 2 ds. a week. Weekly loss to
wage earners
$200,000.
Chicago & Northwestern Railroad 16% reduction. Section hands.
Great Northern & Northern Pacific R. R.l day a week. Shopmen.
Pennsylvania Railroad Discharged. 100,000 men.
Railroads centering in Chicago, 111 Discharged. 2,000 men.
Philadelphia Woolen Mills Half time. All employees.
Stevenson Car Works 2 hours a day. Painters.
Brown & Sharp Mfg. Co., Providence,
R. I Laid off. 600 men.
Brown & Sharp Mfg. Co., Providence,
R. 1 10 hours a wk.All employees.
American Steel & Wire Co., Worcester,
Mass Laid off. 1,200 employees.
Glass Works, Jeannette, Pa Discharged. 1,000 employees.
Baltimore & Ohio Ry Reduced hours. 7,900 employees.
U. S. Corporation Laid off, in ad-
dition to
wage reduc-
tion, 4% of employees.
Allegheny County, Pa., alone has 10,000 idle men on account of closed
mills. The International Mercantile Agency reports wages of 200,000 in-
dustrial employees reduced 10% or more in 1903, and that 300,000 others
will suffer a like reduction on January 1, 1904. (Ex-Director Merriam i»
the head of the Agency.)
TABLE SHOWING WAGE REDUCTIONS, 1904.
Number
Firm or Corporation. Reduction. of
Workmen.
Steel Car Forge Co., Elwood, Pa Closed 2 mos. Resumed at.
1903.
10% All employees.
National Wire Company, New Haven,
Conn 11% All employees.
Elwood City Seamless Tube Mills 10% All employees.
Labelle Iron Works, Steubensville, O . . . 30% All employees.
American Tin Plate Co., Elwood, Ind.. 10% Laborers.
Republic Iron & Steel Co., E. St. Louis. 10% Laborers.
Middletown Plant, National Tube Co . . All employees.
American Sheet & Tin Plate Co., Ches-
ter, W. Va 18% All employees.
American Sheet & Tin Plate Co., Mar-
tin's Ferry, 0 18% All employees.
Pennsylvania Engineering Works, New
Castle, Pa 5% Skilled labor.
Pennsylvania Engineering Works, New
Castle, Pa 10% Common labor.
American Car & Foundry Co., Hunting-
ton, W. Va 10% 5.000 men.
Youngstown Iron, Sheet & Tube Co 10% All employees.
National Tube Co., Chester, Pa 10 to 25% All employees.
Taylor Iron & Steel Co., High Bridge,
N. Y 10% 300 men.
154
The Tariff and Trusts.
Firm or Corporation. Reduction.
Indiana Wire & Nail Co., Muncie, Ind.. 8 to 10%
American Car & Foundry Co., St. Louis,
Mo 10%
McKinlev Furnace, New Castle, Pa.... 12%%
Shenango Works, New Castle, Pa Cut wages.
Mankato Mills, Minnesota 10%
Hargraves Woolen Mills, North Shap-
leigh, Me 10%
Atlantic Mills, Olneyville, R. I Cut wages.
American Can Co., Maywood, 111 10%
New Haven Iron & Steel Co 10%
Midvale Steel Co., Philadelphia, Pa ... . 5 to 8%
Seaboard Steel Casting Co., Chester, Pa. io%
Cambria Steel Co., Johnstown, Pa 10%
Standard Steel Co., Bernham, Pa 10%
Cliff Co., Scranton, Pa Cut wages.
American Steel Casting Co., Chester, Pa. 10%
Nat. Malleable Casting Co., Sharon, Pa. 10%
J. & P. Coates Thread Co., Pawtucket,
R. 1 10%
U. S . Engineering & Foundry Co.,
Youngstown, Pa 10%
All Union Sheet & Tin Plate Mills,
Pittsburg, Pa 20%
Arlington Mills, Lawrence, Mass 5 to 10%
McKinlev Lodge, A. A. S. & T. P. Co.,
Elwood, Ind 20%
New Castle Lodges, A. A. S. & T. P. Co.,
Pa 20%
South Sharon Lodges, A. A. S. & T. P.
Co., Pa 20%
Pittsburg Works, T. & S. P. Co., New
Kensington, Pa 20%
American Can Co.'s Plants. Chicago. 111. 10%
Lake Ore Handlers, South Chicago, 111.. 7%%
Fore River Ship Yard Engine Co Cut wages.
\\ avnesburg Forge Sheet and Tin Mills, 18%
Pa
Burns' Organization of Glassworkers,
Pittsburg 25%
All Plants American Sheet & Tin Plate
Co 18%
JEtna Iron & Tube Works, Pittsburg, Pa. 10%
Silk Weavers, Brooklyn, N. Y 20%
National Founders' Association 30c. a day.
Alabama Coal Miners 10%
Zeigler Coal Miners, Illinois 18%
Fall River Cot. Mills, Mass, 2d reduction 12*4%
Fiskdale Mills 12V2%
Corr Mills, E. Taunton. Mass 12*4%
U. S. Cotton Co., Central Falls, Mass. . . 12%%
Republic Iron & Steel Co., Alexandria.
In! 10%
Pan-American Plate Glass Co., Alexan-
dria, Ind 10%
All Miners. Central Penn. Dist 6%
Berwind- White Coal Mining Co 5 V2 to 6%
All Sheet & Tin Plate Scales from July
1, 1904. accepted by men. 18%
Suncook, N. H., Cotton Mills 12%%
Number
of
Workmen.
Wire drawers.
All employees.
Common labor.
Tonnage men.
All employees.
All employees.
All employees.
1,400 employees.
400 employees.
2,000 employees.
All employees.
10,000 employees.
All employees.
Boilers makers.
molders.
Skilled labor.
All employees.
Machinists.
All employees.
2,000 employees.
500 employees.
All employees.
All employees.
All employees.
3.000 employees.
All employees.
3.000 employees.
Heaters and
catchers.
All members.
All members.
Puddlers.
300 employees.
Molders and core
makers.
9,000 employees.
All employees.
31,000 employees.
500 employees.
All employees.
550 employees.
All employees.
All employees.
All employees.
1,500 employees.
The Tariff and Trusts.
155
WAGE REDUCTIONS THROUGH CLOSED MILLS AND
REDUCED OUTPUT, 1904.
Finn or Corporation. SSSSL
Glass Plants at Altoona and Reynolds
ville, Pa Closed indef.
Glass Plants at New Martinsburg and
Wheeling, Ind Closed indef.
Glass Plants at Barnesville, O., Point
Marion, Pa Closed indef.
Eight Mills, Concord, N. C 2 days a week.
Lakeside Knitting Co., Elkhart, Ind... Closed indef.
Wagon & Carriage Manufacturers' Assn.,
Chicago, 111 Closed indef.
Illinois Steel Company, S. Chicago, 111. Closed indef.
Proximity Cotton Mills, Greensboro, N.C.I day a week.
Knitting Mill, Roanoke, Va Closed indef.
New Holland Cotton Mill, Georgia .... Closed indef.
Pepperell Mfg. Co., Biddeford, Me Laid off.
Delaware Cotton Co .Closed indef.
Cotton Mills, Alamance Co., N. Y Curtailed 25%
Lyman Mills, Holyoke, Mass 2 days a week
Lay ton-Howard Iron Co., St. Louis Steam
Forge & Iron Works, and the Missouri
Malleable Iron Works Shut down.
Tidewater Steel Co Shut down.
Blast Furnace, E. & C. Brooke Iron Co.,
Birdsboro, Pa Blown out.
Mahoning and Shenango Valleys 20 idle furn.
Ashville, D. C. Mills 1 day a week.
Smitherman Mills. Troy, N. C../ 2 days a week.
Natchez, Miss., Mills Shut down.
Millers River Shoddy Co., Athol, Mass.. Shut down.
Adamsdale, Miss., Cotton Mill Assigned.
Flint Mills, Mass 1 day a week.
DuQuesne Forge Co., Rankin, Pa Closed indef.
Monongahela Iron & Steel Co., Ray's Sta-
tion, Pa Shut down.
Alcania Company, Pittsburg, Pa Shut down.
Rockdale Furnace, Rockdale, Tenn Closed indef.
Morgan Engineering Co., Alliance, 0... Closed indef.
Wickford, R. I., Worsted Mills Half time.
Warren Cotton Mills, Warren. Mass. . . .Closed indef.
Galland underwear factory, Wilkesbarre,
Pa Closed indef.
American. Bridge Co., E. Berlin, Conn.. Closed indef.
New Castle Woolen Mills, Delaware. .. .Closed indef.
Chester Mfg. Co., Chester, Pa Closed indef.-
Lawnsdale Cotton Co., R. 1 1 day a week.
Brompton Co., Providence, R. I. ...... ,2 days a week.
American Thread Co., W7illimantic. . . .1 day a week.
Mills in Connecticut and Rhode Island. On short time
movement.
International Harvester Co., Chicago, 111. Closed from
Dec. 16 to
March 21.
35 Cotton Mills at Fall River, Mass 2 days a week.
Thorndyke Mfg. Co., WTarren, Mass.... Cut to 40 hrs.
Blanket ad Cloth Mills, Schuylkill, Pa.Closed indef.
Paterson Silk Mills Shut down.
Number
of
Workmen.
All men idle.
All men idle.
All men idle.
2.000 men.
All men idle.
2 to 3,000 men.
800 men idle.
1,000 employees.
All idle.
All idle.
1,000 men.
All men idle.
2,000 men idle.
700 men idle.
All men idle.
All men idle.
125 men idle.
200 men idle.
All men idle.
All men idle.
All men idle.
All men idle.
Foundry dept.
All men idle.
All men idle.
All men idle.
All men idle.
All men idle.
3.000 men idle.
700 men idle.
10,000.
1,500 men idle.
8,000 idle.
2.500 men.
All men idle.
All men idle.
156 The Tariff and Trusts.
»t_i _,_,. „* Number
Firm or Corporation. Sffi£n of
Reduction. Workmen.
Carpet, Cloth and Blanket Mills, Phila-
delphia, Pa Shut down. 40,000 men idle.
Alryan Woolen Mills, Trenton, N. J. .Shut down. All men idle.
Clinton Worsted Company, Mass .Shut down. 1,000 men idle.
Bigelow Carpet Company's Mill Laid off. 150 men idle.
Social & Globe Mills, Woonsocket Closed indef. All men idle.
Columbian Cotton Mills, Greenville Half time. 500 men.
J. & P. Coates, Pawtucket, R. 1 1 day a week. 3,000 men idle.
Norway Iron & Steel Co., York, Pa Closed indef. All men idle.
Warren Woolen Mill, Mass
Phoenix & Riverside Mill, ' Stafford
Springs, Conn Closed indefi-
Putnam Woolen Mill Co. Putnam, Conn, nitely or on A11 ,
James Roy Woolen Mill reduced Ali emPloyees-
Cochegon Woolen Mill, Palmerstown, time.
Conn
Red Star Mill, Amsterdam
May Mfg. Co., Chester, Pa 1 day a week. All employees.
Neptune Twine Mills, Moodus, Conn.. Shut down. All employees.
Silverware Factory, Wallingford, Conn. Closed indef. 800 employees.
Pennsylvania Railroad Laid off. 13,000 employees.
Vanderbilt Railroad Laid off. 12,000 employees.
Roads out of Chicago Laid off. 20,000 employees.
Burlington Railroad Laid off. 6,000 employees.
The Harriman Lines • Laid off. 8.000 employees.
Gould Lines Laid off. 7,500 employees.
Altoona Iron Co Shut down. 200 employees.
Riverside Knitting Mill, Elmira, N. Y.Shut down. All employees.
Pocolet Mfg. Co., New Holland, Ga Half time. All employees.
Pocolet Mfg. Co., New Holland, Ga Closed down. All employees.
Edwards Mfg. Co., Augusta, Me .Shut dn. 2 mos. 1,400 employees.
Calument Woolen Mill, Uxbridge, Mass. Shut down. All men idle.
Bigelow Carpet Co., Mass Shut dn. 2 mos. 3,500 men idle.
Window Glass Factories in U. S Closed down.
Turner Silk Mill, Colchester, Conn Closed indef. All men idle.
West Eaton Woolen Mill, Brookfield,
N. Y Closed indef. All men idle.
Cabot Cotton Mills, Brunswick, Me 40 hrs. a week. 800 hands.
Rotch Cotton Mill, New Bedford, Mass.l day a week.
All Mills, Lewiston, Me Shut down. •
Pemberton Co., Lawrence, Mass Shut dn. 2 mos.
St. Croix Mills, Calais, Me 2 days a week.
Wamsutta Mills, New Bedford, Mass.. 2 days a week.3,000 hands.
Androscoggin Mills, Lewiston, Me Shut dn. 3 mos.2,162 looms.
Rod, Wire and Blooming Mills, Carne-
gie Steel Co., and Amer. Steel and
Wire Co Shut dn. 3 mos. 2,000 men idle.
Logging and Saw Miljs, State of Wash.Shut dn. 3 mos. All men idle.
Shingle Mills Shut dn. 3 mos.All men idle.
Stafford, Border City, Narragansett
Cotton Mills, New England Shut dn. 3 mos. 17,000 hands.
Potomska Mills, New Bedford, Mass. . . .2 days a week.
Hudson, Mass., Blanket Mill To 50 hrs. wk.
Passaic Print Works, Passaic, N. J .... 1 day a week.
Stanwood Bleachery Co., Carlton Hill,
N. J 1 day a week. All hands idle.
Middlesex, Mass., Woolen Mill Closed. All hands idle.
Twenty-three Iron and Steel Furnaces in
the Central West Blown out. All hands idle.
Chicopee Mfg. Co 2 days a week. 1,200 hands idle.
The Tariff and Trusts. 157
Nature of Number
Firm or Corporation. Mature of _ ^^
North Dexter Woolen Mill, Me Closed indef . All hands idle.
Worcester Textile Mill, Mass Closed indef. All men idle. .
Berkeshire Mfg. Co., Frankford, Pa Half time. 746 looms.
Standard Mills, Frankford, Pa 30 looms run-
ning of 250.
Tennessee Coal Furnaces Shut down. All men idle.
Coal Mines, Birmingham Dist., Ala Suspended. 7,500 men idle.
National Tube Co Closed indef. 3,000 men idle.
75% Cotton Mills in North Carolina. . .Closed 2 mos.
Broad Silk Plant, New Holland, Pa Closed indef.
American Tube Works, Somerville. .. .Closed 2 mos.
Seven Merchant Iron Furnaces in South
Hope Co., Hope, R. I Blown out. All men idle.
All mills at Manville and Woonsocket. .2 days a week. 500 men idle.
All blast furnaces, Cleveland Dist 1 day a week. 2,000 men idle.
Tiffin Woolen Mills, Tiffin, O Blown out. Several hundred.
Somerville Woolen Mills, N. J Closed indef. All men idle.
Cotton Mills, Philadelphia, Pa Closed indef. 4,000 hands.
Cutters and tailors, New York City Laid off. 6,300 workmen.
Baltimore & Ohio R. R Laid off. 10% of force.
Pullman Car Co., Chicago, 111 Laid off. 1,200 men.
Parkersburg Iron Works, Parkersburg,
W. Va
American Sheet & Tin Plate Co. Reduced 32%. capacity.
158 The Tariff and Trusts.
ANTI-TRUST LEGISLATION NOT ENFORCED BY THE
ADMINISTRATION.
EXTRACT FROM SPEECH OF HON. MARTIN J. WADE.
Mr. Wade said:
Mr. Chairman : I think that probably the most important utter-
ance of any statesman of this nation was that of Chief Justice
Marshall in the case of Marbury v. Madison, when he said that "this
is a nation of law, not of men." This is a summing up, Mr. Chair-
man, of the entire basis upon which the Republic rests. It is a fair
statement of the distinction which exists between a republic and a
monarchy. A nation of law is a nation where the people speak;
where they place upon the statute books certain laws ; where they
elect certain agents of employees called "officers," whose duty it is
to enforce those laws regardless of their individual notion as to the
justice of the law or the injustice of the law.
A monarchy is a nation where the government is under the con-
trol of some man or some small body of men, whose whims and whose
notions constitute the law which governs the people of the realm;
and I want to say, Mr. Chairman, that there is no distinction be-
tween a monarchy and a republic when the officers of the republic
cease to recognize the binding force of the law, when the officers of
the republic undertake to determine for themselves whether they
shall enforce the laws which the people have enacted or not.
Mr. Chairman, on December 17, 1902, there was appropriated by
this House, by a unanimous vote, the sum of $500,000, which was
placed at the disposal of the Attorney-General of this Republic, an
agent of the people, employed by them, vested with no discretionary
power, but with the absolute duty cast upon him of enforcing the
laws which they enacted.
During the first session of the Fifty-seventh Congress there were
exciting speeches on both sides of this House. Many bills were in-
troduced. Much discussion took place, but little was accomplished.
Congress adjourned and the Representatives went home to their
people and they found that alarm had increased to panic; they
found individual enterprises trembling for existence; they found
that heartless men, inspired by avarice, were rapidly gaining con-
trol of the business of the country.
When the second session of the Fifty-seventh Congress opened,
it was flooded with bills from both sides of the Chamber, some of
them most radical in their character ; some of them depriving these
combinations of the use of the mails ; some of them seeking to tax
them to death; some of them seeking to take away the tariff upon
trust-made goods ; some of them still more radical. Thus in hun-
dreds of measures of different forms the people joined in a great
movement for relief.
In the midst of this effort on the part of certain members of the
House to accomplish something which the people demanded^ the
The Tariff and Trusts. 159
legislative, executive, and judicial appropriation bill being before
the House, that sterling Democrat, the gentleman from Georgia
(Mr. Bartlett), offered an amendment appropriating $250,000 for
use of the Attorney-General in enforcing the anti-trust laws.
This led to discussion upon the part of members upon both sides.
It was pointed out that all the proposed legislation against trusts
was futile while the laws already enacted were absolutely ignored.
It is said by many members that if an appropriation were made
which would enable the Attorney-General to employ detectives,
special agents, and assistant attorneys to get after these combina-
tions, that he would crush them within a few months and thus re-
store to the people their rights.
Mr. Hepburn, realizing something of the magnitude of the under-
taking which was involved in procuring proof and in the indictment
and trial of a lot of men who seemed to have the arm of the Gov-
ernment paralyzed, offered an amendment to the proposal of the
gentleman from Georgia (Mr. Bartlett) and asked to have $500,-
000 appropriated instead of $250,000 and the members of this
House, feeling that relief would be cheap at any price, concurred
in the amendment, and it passed the House by a unanimous vote.
The people of the nation, while startled by a situation which re-
quired such a vast expenditure, concurred in the action, because
they realized the gravity of the situation.
On February 6, 1903, a short time after the appropriation by .
the House, the gentleman from Maine (Mr. Littlefield) made a
speech upon this floor in which he set forth a list of trusts existing
January 1, 1903. This list was compiled with laborious effort
and it gave the names of 453 industrial trusts, together with the
capitalization and bonded indebtedness of each. He also set forth
a list of 340 of what he termed "natural monopolies," such as mu-
nicipal lighting and water corporations, etc.
He showed further, and made the statement still more startling
by figures, that these industrial combinations include over $9,000,-
000,000 of capital; he showed over four and one-half billions of
dollars in the natural monopolies, and in railway corporations and
transportation companies $11,688,000,000, making a total of over
$20,000,000,000 out of the $90,000,000,000 which the last census
says constitutes our entire national wealth. This speech was made
before this House. The name of every trust was given ; its capital
stock, and the amount of bonds were stated, and the nation was
startled to find the extent to which these monsters had evaded our
business life.
The appropriation made and the list of trusts having been fur-
nished, the people heaved a sigh of relief, for they felt that at last
relief was in sight.
Time passed on, Congress adjourned, a long summer slipped into
the past, another Congress opened, and upon the floor one of the
Representatives of the people offered a resolution asking the Attor-
ney-General what was done with this vast sum of money which had
been appropriated ; what had been the results of all this agitation ;
160 The Tariff and Trusts.
what had been brought forth as the harvest of the sowing here in
the last Congress. I hold in my hand the report of the Attorney-
General made in response to that inquiry.
And what is the harvest? What has been done? Where has this
money been placed? What has been accomplished? We find here
in this report a statement of nine cases (one of them — I want to be
fair — includes a group of cases against several railway companies)
which upon the face of the report appear to have been commenced
within the past year, since the appropriation was made. The report
is misleading. The cases reported are :
1. The Northern Securities case.
2. The beef-trust case.
3. The railroad injunction suits.
4. The Jacksonville wholesale grocers' case.
5. The salt-trust case.
6. Interstate Commerce Commission v. Baird.
7. Interstate Commerce Commission v. Nashville, Chattanooga
and St. Louis Railway Company et al.
8. Hay and straw classification case.
9. Cotton traffic pool case.
Of these nine proceedings reported, but five at most were insti-
tuted after the appropriation was made. I say but five, for the
Northern Securities case, the beef -trust case, the railroad injunc-
tion suits, and the case Interstate Commerce Commission v. Nash-
ville, Chattanooga and St. Louis Railway Company were all com-
menced long before the House voted away the $500,000. The other
five may have been commenced since. I do not know, but I will give
the Attorney-General the benefit of the doubt.
Of these five proceedings one at least was not instituted by
the Attorney-General, but was instituted by a private party, Mr.
Hearst. This case has been finally decided. In one other of the five,
the indictment in the salt-trust case, which, according to his report,
was returned after the salt trust had gone out of business,
the defendant pleaded guilty and was fined $1,000. This is the only
solitary case in which the Attorney-General reports an indictment
returned or an information filed, and this man — poor, unfortunate
cuss — came in and pleaded guilty and paid a fine of $1,000.
So there are four proceedings which may have been instituted by
the Attorney-General, in one of which the party plead guilty; the
other three are still pending. What a magnificent harvest! And
the strange thing is that not one of these actions is against a trust
named in the list furnished by the gentleman from Maine (Mr.
Littlefield). These 453 are, so far as the record shows, still paying
dividends upon their liquid stock.
The Attorney-General refers to the beef-trust case. What is the
condition of this case ? The first portion of it has been determined
against the beef trust, because there was a demurrer to the petition
overruled, and an appeal was taken to the Supreme Court of the
United States. You can find the transcript in there in the clerk's
office. It has been there since last August. I asked the clerk the
The Tariff and Trusts. 161
other day about it. He said nobody had ever asked yet to have
it printed, and that there was no possibility of having it heard in
the Supreme Court before December or possibly January of next
year.
Why, Mr. Chairman, we have been regaled here in this House by
a most eloquent speech, delivered by the gentleman from South
Dakota (Mr. Martin) a few days ago, and we learn that the Secre-
tary of Commerce is now sending men over the country to find out
some facts about the beef trust. This would be a great chance for
Sherlock Holmes. Why, every schoolboy, every consumer, every
farmer, every country newspaper, everybody in this country, it
seems, except those few officers whose duty it is to know these things,
knows all about them. Why, I do not know but what it will be per-
fectly safe to go into court and file an information and simply let
the court take judicial knowledge of these existing conditions. (Ap-
plause.) Because an eminent law writer said, "The courts will not
assume that they themselves are ignorant of those things which
everybody knows."
Why, Mr. Chairman, the gentieman from South Dakota (Mr.
Martin) in his eloquent speech said:
"I indict the beef combine, so called, of serious offenses against
the order and rights of civilized society. No monarchical govern-
ment for any great length of time has permitted a monopoly to
exist in any of the great staple food products of the country."
Why is it that the officers of this Government with $500,000 ap-
propriated over a year ago, why is it that for years these combina-
tions have gone on doing business at the old stand, and that no
prosecutions can be commenced even in these times of stress when
the poor people are paying 25 per cent, advance on their soup
bones ?
I would like to know how long it will be with this rate of prose-
cution until we have wiped out these immense combinations ? How
long are the pedple going to submit to this farcical process, this
farcical action of undertaking a prosecution of the trusts? Now,
before closing, I want to defend the President of the United States.
I want to defend him against the charges made in his own press
bureau that he is an enemy of these corporations. I want to as-
sure these immense combinations that if they go into the next cam-
paign and select the present Executive and reinstall the present Ad-
ministration, they can feel perfectly safe and secure during the
next four years. Why, it is not right to be thus misrepresenting the
"head of the Government. I say it is utterly wrong to be holding
out to these combinations the statement that Mr. Eoosevelt is un-
friendly to them. Of course we all realize that these statements
come from his own friends; that they come from his o*wn news-
papers, and that they are sent forth among the people of this nation
in order to convince them that he is antagonizing these great institu-
tions. But I tell you that the people are going to ask for results.
They are no longer going to be satisfied with these general state-
ments that the whole effort of this Administration is to crush out
162 The Tariff and Trusts.
with iron heel these immense combinations that are grinding the
people into the earth. They are not going to take "hot air" any
more. They are going to ask the Attorney-General and the Presi-
dent what has been done. They are going to find out that, not-
withstanding all this talk, all these publications of hostility to
trusts, to-day we have more trusts, notwithstanding a few that have
gone to the wall, than at any other time in our existence, and that
every day they are more strongly getting their grip upon the throats
of the people. Why, the Attorney-General comes in here with a
great show of power, and says in pride : "Look at my work : four
proceedings out of more than four hundred that could have been
commenced."
What a farce this whole matter has been. No comic opera ever
staged possessed the fine humor which, were it not for the tragedy
behind the scenes, would convulse any audience with laughter. A
little more than a year ago the people of the nation cried out in
their agony for relief against the trusts.
The wisdom of this House agreed that if the laws upon the statute
books were enforced the trusts could be suppressed.
And now a year has gone by, and when we call for a report of
his stewardship the Attorney-General proudly marches in and says
that he ignored every trust named by Mr. Littlefield and reports
four actions commenced, three of which are still pending.
What about the other trusts? Why have no actions been com-
menced against them? Why are they immuned from prosecution?
I want to submit to the sober judgment and to the conscience of
the people of this nation whether this record is worthy of approval.
What this nation needs to-day, what it needs above legislation or
anything else, is a man in the Presidential chair who will insist that
the man whom he places in the office of the x\ttorney- General will
honestly and fearlessly enforce the law. What we need is a man
who will not put himself above the law, but who will see in every
enactment of Congress a sacred command which 'he must obey re-
gardless of who may be affected thereby.
If laws are unjust, the enforcement will soon lead to repeal, but
the justice or the injustice must be determined by Congress, not
by the Executive, for "this is a nation of law, not of men."
Every man in every line of employment and in every legitimate
industrial enterprise is entitled to the protection of the law, and
under the law, if it were honestly enforced, every man engaged in
an honest, lawful enterprise, every farmer in his field, every laborer
in his shop, every merchant in his store would be shielded from ex-
tortion and from ruin by the industrial monsters which to-day have
their hands clutched upon the throat of individual enterprise and
individual effort. (Applause.)
Reciprocity. 163
REPUBLICAN RECORD ON RECIPROCITY.
HOW IT HAS "MADE THE DEED SQUARE WITH THE WORD."
The President favors "reciprocity with foreign nations" — at
least, he says so. "It is a singular fact," says he, "that the only
great reciprocity treaty recently adopted — that with Cuba — was
finally opposed almost alone by the representatives of the very party
which now states that it favors reciprocity."
It is also a "singular fact" — *>r it would be, if there were any-
thing "singular" about the violation of Republican promises —
that it is the "only great reciprocity treaty" negotiated by Re-
publicans, though their promises to inaugurate a magnificent sys-
tem of reciprocity treaties that would give us control of the trade
of the world have been standing unfulfilled for seven years. Lfc
1896 the Republican party in its platform declared that "the repeal!
of the reciprocity arrangements negotiated by the last Republican
administration was a national calamity, and we demand their
renewal and extension on such terms as will equalize our trade
with other nations and secure enlarged markets for the products'
of our farms, forests and factories. Protection and reciprocity
are twin measures of Republican policy, and go hand in hand.
Democratic rule has recklessly struck down both, and both must
be re-established." When the Dingley- law was passed, it made an?
express provision for a subsequent reduction by reciprocity treaties
to the extent of 20 per cent, of the enormous rates of duties it im~
posed. In the debate upon the passage of that bill, the Republi-
can members and Senators were fierce in their denuncia-
tion of Democrats for having repealed the Blaine reci-
procity arrangements, and loud in their promises of the
great results in the way of reciprocity treaties that were
to be brought about by the operation of the Dingley
tariff. Representative (now Senator) Hopkins, of Illinois, one
of the authors of the bill, declared that the reciprocity feature
was to be its "crowning glory." The bill carried on the very
face of it an admission by its authors that the duties imposed
were 20 per cent, higher than necessary for purposes of protection.
This 20 per cent, was to be reduced by reciprocity. President Mc-
Kinley, through his commissioner, Mr. Kasson, negotiated a num-
ber of treaties with foreign countries and they were submitted to
the Senate and left to die there without any action being taken. So
far from the Cuban reciprocity bill being a step in the direction
of reciprocity, it was a final compromise between the friends and
the enemies of reciprocity within the Republican party. It was
agreed between them that thai should be the end of reciprocity.
The authors of the Dingley Bill in the House had made sugar the
chief article to be used as a basis for reciprocity treaties with
other countries, just as it has been the basis for all the reciprocity
arrangements perfected by Mr. Blaine. After the Cuban treaty
164 Reciprocity.
had been ratified by Cuba, the Republican party inserted into the
body of the treaty an amendment which Cuba had never asked for
which provided that no treaty should be made with other nations
which involved a reduction of sugar duties. This amendment
destroyed at one blow all but one of the reciprocity treaties then
pending in the Senate, and made it impossible to negotiate any
advantageous treaties with the sugar growing countries of the
world.
Mr. Carmack, in his speech in the Senate, November 25, 1903,
in discussing this question, said:
"You had a treaty here entirely satisfactory to the people of
Cuba, a treaty already ratified and approved by the Government
of that country. You take that treaty and you write into it a
miserable bargain with the protected interests of the United States
— a bargain, I say, which was in gross violation of good faith to
our own people, a bargain which closed the door to reciprocity
with other countries — and you insist that we shall make that
bargain in the name of honor and in the name of reciprocity."
*******
"This is not presented, Mr. President, simply as one act in a
general policy of reciprocal trade. It is presented as the end-all
and the be-all of that great policy which, in the magniloquent
language of the Republican platform, was to give us control of
the trade of the world. It is not conceived in a spirit of friend-
liness, but in a spirit of deadly hostility to a liberal trade policy."
*******
"We enacted a tariff act in 1897 and we imposed duties high
enough in all conscience to satisfy the greediest shark that ever
called himself protector of American labor. Then we put on an
extra margin to be bargained away by treaties with foreign coun-
tries to extend our foreign trade. We have been waiting all these
years for our Government to drive a series of bargains with other
nations to reduce the burdens it had laid upon its own people,
and not one solitary treaty has been ratified to this good hour.
The oppressive taxes that we imposed in the name of foreign
trade have been appropriated entirely and exclusively to the pur-
poses of domestic monopoly. Yet there has been no reciprocity.
The rates of the Dingley tariff were purposely made excessive to
enable you to negotiate these treaties. The Senator from Illinois,
when the bill was under discussion, expressly said so with reference
to sugar, and the Senator from Iowa said so on the floor of the
Senate."
*******
"The bill expressly provided for a general reduction of not
more than 20 per cent. Mr. Kasson, of Iowa, the commissioner
selected by Mr. McKinley to negotiate these treaties, expressly
declared that the general rates of the Dingley tariff had been made
excessive, had been made higher than was needed for the pur-
poses of protection, in order to carry out the policy of reciprocity
which the Republican party had promised in every platform, and
Reciprocity. 165
for the destruction of which it had denounced the Democratic
party in every platform. The treaties were negotiated; they have
been left to die, and no effort has been made to ratify them in
this Senate."
*******
"Yet, sir, you now write a bargain into this measure that there
shall be no such reduction, and that you shall not use the sugar
duty for the purpose for which it was intended — to reopen the
markets of Germany and other European and American countries
by reciprocity. Why? How came that provision in the bill or in
the treaty?
"It was not put there on the insistence of Cuba. Cuba had
never asked for it. She had ratified the treaty without such a
provision being contained in it. It was put there, Mr. President,
as a bargain with the sugar growers and as a general bargain with
the protected interests of the United States that reciprocity should
die with this treaty."
SENATOR DOLLIVER, REPUBLICAN, ON RECIPROCITY.
Senator Dolliver of Iowa does not seem to agree with the
President as to the extent with which he has "made the deed
square with the word" as to the question of reciprocity. Mr.
Dolliver was one of the Republican members of the Committee
on Ways and Means in the House which framed the Dingley
tariff, and no man knows better the promises made by his party
when that bill was passed. Quoting from the speeches of Repub-
lican colleagues in the Senate and from the reciprocity section of
the bill, Mr. Dolliver said:
"It seems to me to require somebody's attention when that
homely, sensible, time-tested plan now in practice in nearly every
country in the world of fixing the rate of duty high enough to
be made the basis of subsequent reciprocal agreements is denounced
here in the Senate of the United States as an infamy. * * *
The Congress of the United States did solemnly authorize the
President to enter into reciprocal negotiations with foreign coun-
tries for the purpose of extending American commerce by the
simple expedient of reducing not to exceed 20 per cent, the duties
assessed by the tariff law. * * * I undertake to say here that
more violence has been done to the protective system by the quiet
and uncommunicative failure of the Senate to take action upon
treaties which were negotiated under the authority of the Act
of 1897 than by all the noise that has been made on the other
side of the chamber. * * * It is a reproach to the Govern-
ment of the United States to-day that there is hardly a line of
the wisdom of James G. Blaine remaining upon the statute books
of our country, and that not one step has been taken to give
reality to the magnificent vision which illuminated the last days
of poor McKinley's earthly career."
The Republican party has "made the deed square with the word"
by giving to protection the duties that were levied for reciprocity.
166 Reciprocity.
The passage of the Cuban treaty was secured only by inserting
the provision which destroyed all the reciprocity treaties McKinley
had negotiated, and made it impossible to put back upon the
statute books any part of the Blaine reciprocity policy.
RECIPROCITY WITH CANADA.
"We favor liberal trade arrangements with Canada and with peo-
ples of other countries where these can be entered into with benefit
to American agriculture, manufactures, mining or commerce."
This square declaration of the Democratic platform is in line
with the business principles which the Democratic party seeks to
apply to the conditions of international commerce. It is unequi-
vocal, not evasive. It proposes a general expansion of trade in
place of the sham "reciprocity" with which the Republican leaders
are accustomed to play for votes with no intention of accomplish-
ing results.
First, regarding reciprocity with Canada. This great country
on our northern border, one of the largest and finest on the globe,
has a land area slightly larger than that of the United States,
and perhaps little inferior to it in the vast variety and value of
its resources. It is surrounded and indented by seas that teem,
to a degree beyond all others anywhere, with the wealth of ocean ;
and they in conjunction with its mighty system of internal trans-
portation afford a splendid basis for maritime and commercial en-
terprise.
Its population, now rapidly increasing, is practically identical
in origin, customs, religion, institutions, customs' requirements
with our own. Only a political boundary, an imaginary barrier,
separates this imperial domain, this land of inestimable promise,
from us and ours.
Nothing but the most unexampled lack of foresight in political
history could countenance indifference to the commercial possibil-
ities between the two countries, which belong as naturally to the
same economic unity as New England and the Middle West,
or any other two sections of the United States. The Democratic
platform specifies reciprocity with Canada for powerful reasons.
The fixed policy of the Republican party in its treatment of the
Dominion of Canada has been to wring from her such profits as
might be gathered without giving anything in return, or so to im-
poverish her that she must of necessity apply for admission to the
sisterhood of states for self-preservation. This deliberately selfish
policy has cost the United States the respect, almost the friend-
ship of the growing nation of the North; and the people of the
United States are turning hopefully toward the Democratic party
for a correction of the great mistake.
Reciprocity. 167
THE ELGIN RECIPROCITY TREATY.
Gross misrepresentation by Republican politicians of the opera-
tion of the Elgin reciprocity treaty with Canada, in force from
1855 to 1866, have given a confused idea of what already has been
accomplished by reciprocity. This treaty provided chiefly for the
free interchange of the natural products of both countries.
It was negotiated, however, not for special advantages in trade
which it was expected to bring to the United States, but to se-
cure for our Atlantic fishermen privileges which were absolutely
necessary to the profitable continuance of the fishing industry. Its
immediate effect was to substitute good will and prosperity for
continued friction, which often threatened to involve the two coun-
tries in war.
The year before the treaty was signed the total trade between
the two countries amounted to $18,960,156. The year the treaty
was abrogated the total trade amounted to $73,357,508, an increase
of more than $54,000,000. The total balance in favor of the United
States during the treaty period was $19,046,297. During the first
ten years of the treaty the balance of trade steadily favored the
United States, but during the Civil War the United States drew
heavily upon Canada for all kinds of supplies and for the last
three years of the treaty imports exceeded exports.
In 1866, in anticipation of the abrogation of the treaty, im-
ports were unduly stimulated, but the trade soon resumed normal
conditions, as far as tariff considerations were concerned. It is an
unavoidable inference--— although always concealed by Republican
stump speakers — that we would have imported heavily from Can-
ada during this destructive and reconstructive period, even had
there been no treaty ; for our imports exceeded our exports not only
for the last three years of the treaty period but for seven years after,
or until 1874. Since that date our exports to Canada invariably
have exceeded our imports; and conditions in the two countries
are such that under no conceivable scheme of reciprocity, it is
fair to assume, could the balance be changed.
This treaty was not, as Republican orators charge, denounced
because of dissatisfaction with its workings, but partly because
of political considerations which had nothing to do with com-
merce, and partly because of the need of greater revenue to defray
the expenses of the Civil War. At the time, and repeatedly since
then, Canada has made efforts to renew negotiations, and these in-
variably have come to naught, because of the influence of special
and highly protected interests with the United States Senate.
There has been no time within the past generation when a treaty
with Canada of enormous advantage to the business interests of
this country might not have been negotiated, but the alleged in-
terests of the very few have been allowed to prevail against the
desires of the many. • •
FISHERIES UNDER RECIPROCITY.
A second period of reciprocity in fish with the British Prov-
168 Reciprocity.
inces of North America was experienced from 1871 to 1885, un-
der the Washington treaty. The operations of this period have
been examined by Leonard A. Treat, president of the Boston Fish
Bureau, one of the most distinguished authorities upon the At-
lantic fisheries in the United States, who has written as follows :
"Fortunately, during this period there was established an organiza-
tion for collecting and collating statistics of the New England fisheries.
I shall draw largely from the files of the Boston Fish Bureau such statis-
tics as I have to present. It has been maintained by many of our ves-
sel owners and curers of salted codfish that the opening of our ports to
the free entry of the codfish products of the British provinces would,
by the lowering of prices, be disastrous to this industry, compelling their
withdrawal from the business, which would no longer be profitable to
them or the fishermen.
"But how was it under the 14 years of reciprocity? I shall take
the last five years of reciprocity — 1880-1884 — for comparison with the
five years immediately following the abrogation of reciprocity, 1885-1889.
And first, prices — for if remunerative prices could not be obtained, the
business could not prove profitable. Now taking the highest prices rul-
ing in each of the last five reciprocity years, I find the average high-
est price to be $4.63 per hundred weight, while after abrogation, the
average highest price for the first five years was $3.70. Result: 25 per
cent, higher prices under reciprocity.
"Again, taking the lowest prices ruling in each of these five-year
periods we are comparing, and the rate is as $3.72 during reciprocity
to $2.46 after abrogation, fully 50 per cent, in favor of reciprocity.
"Finding a fall in prices, we must expect as a natural result to find
a decreasing number of vessels employed in the codfishery. In the reci-
procity we find the catch increased in round numbers from 250,000 quin-
tals (a quintal is 112 pounds) to over 1,000,000 quintals, and the num-
ber of vessels employed from 579 to 765.
"But in the five years' period following abrogation, we find the catch
decreased from 1,000,000 quintals to 500,000 in 1889— a 50 per cent, de-
crease in catch — and the number of vessels 'employed from 765 vessels
in 1884 to 295 vessels in 1889— a loss of 60 per cent.
"Under reciprocity prices ruled highest, the fleet was the largest and
the catch was the greatest — plenty of work for plenty of men, with plenty
of money accruing. After abrogation — declining prices, decreasing catch,
fewer vessels employed. And yet some men will still claim that abrogat-
ing reciprocity kept our salt codfishery from annihilation.
"During reciprocity, vessels for salt codfish were sent to the banks
from many ports, such as Chatham, Kingston, Plymouth, Marblehead,
in Massachusetts; Wiscasset, Portland and other places in Maine. But
not for years has one vessel been sent from any one of these ports on a
similar voyage. If reciprocity with Canada were to bring a change
to these ports, such a change could not be for the worse. Other ports
show tremendous shrinkage. Provincetown in 1884 sent 85 vessels for
salt cod; in 1894, seven vessels; Beverly in 1884 sent 14 vessels; in 1894,
four vessels; Bucksport, Me., in 1884 sent 12 vessels; in 1894, four vessels.
"Neither must it be overlooked that while our catch of 1,000,000
in each of the years of 1883 and 1884 has fallen to 384,000 in 1903,
our population has increased from 56,000,000 to 80,000,000 in 1903. Or,
to put it in another way, our population has increased nearly 50 per
cent., while our codfish catch has decreased 60 per cent.
"Not because of our free fish, but because — shall I say? — of protective
fish that Provincetown fleet of 85 sail in 1884 in 10 short years shrivelled
to seven. Under 10 years of reciprocity the Provincetown fleet had grown
from 38 to 85 vessels, and under 10 years of tariff it decreased from 85
to seven. Reciprocity or tariff — which shall it be?
"But how, I hear some one ask, can it be possible to maintain high
value for fish and an increasing business here in New England under
Reciprocity. 169
reciprocity? The total catch of codfish on our Atlantic coast is estimated
at about 3,000,000 quintals, of which this country can consume about
400,000, the balance being consumed in the West Indies, Central and
South America, and in those Catholic countries of Europe bordering
on the Mediterranean. Were New England given reciprocity she would
become master of the situation, and Boston or some other Atlantic sea-
port would become the price market of the world. Our improved and
increasing steam communication with these countries, both water and
rail, would give us the command of all foreign markets with resulting
fair prices for all.
"The export demand for salt codfish is from countries lying under
or near the equator. Codfish keep best in our cooler climate, and can
better be carried in larger stocks here than there. More frequent and
rapid communication tends to smaller and more frequent purchases. A
cable from Italy would enable a purchaser there to lay down by steamer
two weeks later such a supply of fish as his cable called for, or a qual-
ity far superior than by the older yet even now largely prevailing pro-
vincial manner. Steam communication with the Mediterranean ports is
not possible now, nor probable in the near future from Newfoundland,
while it is an established fact with us.
"The opponents of reciprocity appeal to you to preserve the nursery
of our navy. I appeal to you that these fishermen, who have taken
their lives in their hands, who in dangers oft. in perils oft, in ship-
wrecks frequent, shall, when they return with the 'harvest of the sea/
come to a market open to the world, and not to one narrowed and re-
stricted by would-be monopolists."
EXCESSIVE DUTIES.
Our exports to Canada have increased steadily since 1873, until
now the Dominion is our third largest customer, and the largest
in the world for American manufactures. The value of our ex-
ports aggregate'd $131,274,346 for the fiscal year of 1904 just
closed.
Our imports, in the meantime, harve increasesd practically not
at all. They were less in 1902 than they were in 1866, and for
1904, they were only about $3,000,000 more, or $51,406,625.
This trade has been maintained under conditions as unfair to
the people of the United States as they are to Canada. That is
to say, while Canada has maintained a moderate tariff upon our
exports, thus permitting her people to avail themselves of the
various products of our development at reasonable prices, the Ke-
publican policy has been to withhold from our people the bene-
fits which might come to them and their industries through reason-
able opportunity to purchase freely the Canadian food products
and raw manufacturing materials so necessary to our use. This
policy has, therefore, the double disadvantage of imposing heavy
taxes upon the American people upon a class of articles more and
more needed in view of dwindling or monopolized domestic sup-
ply, as in coal, iron, lumber, fish, etc.; while at the same time it
has bred hostility among a proud and growing people, who be-
lieve the United States is large, rich and powerful enough to af-
ford to grant a reasonably free market to their products without
menace to any domestic interest.
The irritating commercial conditions affecting the trade of the
two countries can be no better illustrated than by the following
170 Reciprocity.
table, showing the rate of duties imposed upon imports into the
United States and Canada respectively during 1903:
United States Canadian
Rates of duty. Rates of duty.
Articles of food and animals 72.80 26.98
Crude articles for manufacture 27.85 22.48
Wholly or partly manufactured for use as materials. 25.65 19.78
Manufactured articles ready for consumption 49.22 24.30
Luxuries, etc 57.47 53.56
Average rate 49.03 27.13
The most cursory glance shows that in every class of merchan-
dise the United States duty is higher than that of the Dominion,
while the average duties in all classes are about double. To state
the case in another way, the United States places twice the ob-
stacles in the way of trade that Canada places. As far as the
effect upon commerce is concerned, this is as if some arbitrary act
of an imperial power made it possible to affix a penalty of fifty
cents on the dollar upon the States west of the Mississippi for
trading with the States lying east.
Notwithstanding unequal conditions, some interchange of all the
more common products of the two countries takes place. It is
not generally realized that the United States sells twice as much
of farm products to Canada as Canada exports here, although
both countries find a large market for their farm products abroad.
CANADIAN PREFERENTIAL DUTIES.
One of the most important effects of the discouragement of
purchases from Canada has been to cause the Canadians to develop
their market in Great Britain.
The natural tendency of Canadian traffic was through the United
States, but an exclusive tariff has deprived American merchants
and transportation companies of the profit of handling Canadian
wares, while at the same time it has built up a serious competi-
tion abroad for the American farmer.
In 1866, Canada sent to Great Britain farm products valued
at only $3,544,000, while in 1902, her export of the same classes
of goods amounted to $79,545,000. Her exports of this class to
the United States in 1866, or the last year of the reciprocity treaty,
amounted to $25,041,000, and in 1902 they had decreased to
$7,027,000. Even under the reciprocity treaty many articles, par-
ticularly agricultural products, which figure in the returns as im-
ports from Canada into the United States, were, as a matter of
fact, re-exported to Great Britain; and while this traffic was en-
couraged, the Canadians had little thought but to regard United
States ports as their natural ports of export and United States
railways as their natural means of transportation. The abroga-
tion of the reciprocity treaty and the annihilation of the re-ex-
port trade in Canadian goods (except such as came through in
bond) marked the parting of the ways in the destiny of the two
countries.
Reciprocity. 171
A government friendly to reciprocity with the United States
was elected by the Dominion of Canada in 1896. Immediately
upon its assumption of power the Laurier ministry was met by
the exclusive Dingley tariff. Even then the beginning of an enor-
mous export trade with Great Britain had been made, and in six
years this had doubled. The following table shows the exports
of Canada to Great Britain by five-year periods from 1873 to 1903 :
Year. Value of Exports.
1873. . $31,431,000
1878 35,861,000
1883 39,672,000
1888 33,648,000
1893 58,409,000
1898 93,065,000
1903 125,199,000
In 1873, about 41 per cent, of the total exports of Canada went
to Great Britain and 48 per cent, to the United States. In 1903
Great Britain took more than 58 per cent, of Canada's surplus,
an increase of 17 per cent., and the United States took only 32
per cent., a decrease of 16 per cent.
The history of Canadian imports has been exactly the reverse.
In 1873 Canada bought 54 per cent, of her imports of the Mother
Country and 37 per cent, in the United States. In 1903, the
United States supplied her with 59 per cent, of the merchandise
she purchased abroad, a gain of 22 per cent, while the propor-
tion supplied by Great Britain had dwindled to 25 per cent., a
decrease of 19 per cent. In a generation, then, Great Britain
had lost and the United States had gained a total of 41 per cent,
of the import trade of Canada.
Recognizing the value to her of the British market and forced
to the realization that the United States cared nothing for trade
with Canada except to keep it going all one way, the Dominion,
in 1897, instituted her scheme of the preferential tariff. Start-
ing with a concession of 12 per cent, on British goods, this was
increased in 1898 to 25 per cent, and in 1900 to 33 1-3 per cent.,
at which figure it now remains. The situation is, therefore, that
all imports into Canada from Great Britain, except wines, malt
and spirituous liquors, liquid medicines, articles containing alco-
hol, and tobacco, cigars and cigarettes, are favored with a reduc-
tion of duty of 33 1-3 per cent.
The effect of Canadian action in thus favoring a friendly and
generous customer over other countries, like the United States,
which demanded everything for nothing, was noteworthy in its
stimulation of the British export trade. Before the adoption
of the preference the purchases of Canada from the United King-
dom were becoming less and less in value, as the following table
shows :
172 Reciprocity.
1873 $68,522,776
1883 52,052,465
1893 43,148,413
1897 29,412,188
With the adoption of the preferential tariff of 25 per cent., im-
ports from Great Britain began to increase, and with the increase
in the rate of reduction (1900), the purchases of Canada from the
United Kingdom increased more rapidly. This table tells the story :
1898 $32,500,917
1899 37,060,123
1900 44,789,730
1901 43,018,164
1902 49,206,062
1903 58,896,901
1904 61,770,379
From a decrease of 60 per cent from 1873 to 1897, the prefer-
ential tariff has aided British merchants and manufacturers to
sell more than 100 per cent, more goods in Canada in 1904 than
they sold in 1897. In the three years ending in 1903 the sum of
$8,464,596 in duties has been saved to British sellers by the opera-
tion of the preference.
Says Mr. George Johnson, the able chief statistician of the
Dominion :
"The conclusion I feel warranted in drawing from these figures is that
the preferential tariff has saved a business which before the adoption
of that tariff was rapidly dwindling, and has in fact so greatly increased
it, that there is a reasonably sure prospect that the palmiest period of
the trade in the past thirty years will be overshadowed in the near
future."
Increases like this were made, of course, at the expense chiefly
of the United States; particularly since Canada has imposed a
surtax of 33 1-3 per cent, upon imports from Germany (1903)
in retaliation for the refusal of Germany to continue the admis-
sion of Canadian products at "conventional" rates of duty — i.e.,
lower rates secured by a previously existing reciprocal arrangement
between Germany and Great Britain.
This action of our greatest customer in thus giving a prefer-
ence to our greatest rival was due, on the one hand, to the un-
friendly tariff policy of the United States and, on the other, to the
free admission of Canadian products, chiefly agricultural, to the
British market. It was only after a generation of rebuff and eva-
sion by the tariff makers of the United States that the Dominion
government regretfully sought to divert the course of trade from
its natural channels and turn it elsewhere. The new current has
now set in, and the natural impulse of the two great American
peoples to fraternize and trade with each other has been checked.
Reciprocity. 173
THE CHAMBERLAIN PROGRAM.
The question of reciprocity with Canada is not one of a day
or a year, it is one which will intimately affect the future pros-
perity of coming generations. It is one of the largest, most im-
portant and most delicate questions with which national admin-
istrations will be called upon to deal. It must be treated broadly
and with foresight, not used as a political football. It must be
studied as an epoch-making problem instead of dismissed in the
spirit of petty selfishness which has characterized the utterances
of Republican monoplists and politicians regarding it since the
abrogation of the Elgin treaty.
Great Britain has not been unmindful of the change in Cana-
dian sentiment with respect to the United States, and the so-
called Chamberlain plan, first promulgated in February, 1903, has
entered as another element threatening closer relations between the
United States and the Dominion.
Alarmed, apparently, by the growing strength of reciprocity
sentiment in the United States, the then colonial secretary launched
his plan of an "Imperial Zollverein" or commercial union of Great
Britain with her colonies. The scheme proposes the abandonment,
in a measure, of the historic British policy of free trade and the
substitution of a tariff plan which is thus concisely stated by the
commission selected by Mr. Chamberlain to suggest the most feas-
ible fiscal policy to pursue:
A. A general tariff, consisting of a low scale of duties for for-
eign countries admitting British wares on fair terms.
B. A preferential tariff, lower than the general tariff, for the
colonies, giving adequate preference to British manufactures and
framed to secure freer trade within the British empire.
C. A maximum tariff consisting of comparatively higher duties,
but subject to reduction by negotiation to the level of the general
tariff.
This plan proposes, in a nutshell, the restriction of the greatest
market in the world, the British Empire, to the countries compos-
ing that empire; to the exclusion primarily of the United States
and of all other countries, except upon such terms as might be se-
cured through the breaking down of tariffs. It implies that Great
Britain has reached the limit of patience in permitting a free mar-
ket for the wares of high protectionist countries, and is deter-
mined to do a little trading for herself along lines suggested by
her rivals.
Should this policy of Mr. Chamberlain succeed — and it is a
general opinion both here and in England that, notwithstanding
temporary setbacks, eventually it will — its importance to the United
States can not be overestimated.
Great Britain buys of us much more than one-third of our
sales to all the world, more than our sales to all the remainder of
Europe, more than twice our sales to North America and more
than three times our sales to South America, Asia, Oceania and
Africa put together. Our sales to British possessions, exclusive
174 Reciprocity.
of the United Kingdom, are some $20,000,000 more than to South
America, Asia, Oceania and Africa. Great Britain takes half our
surplus of wheat, more than half our export of flour and of other
cereals in proportion.
The Chamberlain proposition, by giving Canadian agricultural
exports an advantage in the British market over those of the United
States, would aim to make and recognize Canada as the granary
of the empire, and thus deprive the American farmer of his largest
foreign market. Through Chamberlain, Great Britain proposes reci-
procity in Canada and a dose of her own tariff policy — although
not so drastic a one — for the United States.
Thus is presented the sorry spectacle of two of our largest cus-
tomers banded in a titanic struggle to shake themselves free of
depeodence of the United States; proposing retaliation instead of
reciprocity; the strangulation instead of the encouragement of
commerce with the United States: a businesslike and legitimate
warfare, moreover, and one which the policy of the United States
has deliberately invited. Canada already has given some evidence
of friendliness to the Chamberlain plan, although reserving to her-
self the right to legislate strictly for the benefit of her own interests ;
and she has played her part in it so far also by arranging a scheme
of tariff concessions with South Africa and Australasia.
REPUBLICAN RECIPROCITY A SHAM.
It is to be borne in mind that only of late years has American
-commerce assumed relatively important proportions and many of
our industries been placed upon an export basis. Until within a
comparatively short time, our foreign trade was only an incident
where now it occupies a fundamental position. Republican "stand-
patism" is as indifferent to this structural change in the business
of the country as in the early days when it was clamoring for the
protection of "infant industries." As has been well said by a Re-
publican of commanding ability, now ostracized by his party for
attempting in good faith to carry out the pledges of his party, the
Hon. John A. Kasson : "Protection abroad for our exports has be-
come equally important with protection at home, and in many
cases has become more important."
The Republican party, by its repudiation of the principle of
genuine reciprocity, has lost the confidence of the business men
of the country and invited a policy of retaliation among the best
foreign customers of the American producer, of whatever class.
It has played with the name of reciprocity and refused anything of
the substance. Its traditions and its practices are wholly opposed
to fairness in trade. It refuses to apply business principles to the
problems of international commerce. Until this application is
made, the valuable export trade which has been developed through
the tolerance of foreign customers, who have hoped against hope
for better things, will rest upon a precarious and unstable basis.
The Republican idea of reciprocity is and always has been to im-
pose a tariff upon articles not produced in this country and then to
Reciprocity. 175
trade that tariff down for the purpose of forcing the export of
goods desired by foreign customers.
Kepublican reciprocity has no more to show for itself than
this program. This is the only reciprocity which the monopolies
existing under the United States tariff will permit the Republican
party to negotiate. The most representative mouthpiece of monop-
oly in Congress, Mr. Dalzell, of Pennsylvania, is quoted in the Re-
publican Text Book as saying: "Republican reciprocity is reci-
procity in non-competing articles and in nothing else."
A Republican is quoted by the Republican Text Book as having
said upon the floor of Congress, February 8, 1904: "I believe in
the reciprocity of Blaine and McKinley, reciprocity in non-competi-
tive goods, but not in reciprocity in competitive goods, which is
simply free trade." That the Republican leaders of Congress do
not believe in any kind of reciprocity which reciprocates was made
evident by the failure of the treaties negotiated under the Dingley
bill. The most important of these treaties was that with France,
of which the President declared that it would increase the exports
of our manufactures to France tenfold. It was alleged by the Re-
publican opponents of this reciprocity treaty that the slight re-
duction made in the duties would "sacrifice" certain important
industries of one section of the country.
The ridiculous sophistry of this allegation is discovered in the
fact that in every case, after granting all the concessions made by
the treaty, a protective duty of more than 50 per cent., or actually
double the total labor cost, would have remained upon the product
of each industry.
Republican professions of friendship for practical reciprocity
have not been backed by performance. That party does not and
can not stand for commercial interchange upon fair terms.
A STOLEN PLANK.
After a few 'timid utterances upon the important question of
reciprocity and the sage conclusion that "the policy of reciprocity
can be most largely extended in the direction of tropical countries,"
the Republican Campaign Text Book closes its original discussion
of the subject with the remarkable declaration that "On this ques-
tion the Republican platform of 1904 says:
" 'We favor liberal trade arrangements with Canada and with peo-
ples of other countries where they can be entered into with benefit to
American agriculture, manufacture, mining or commerce.' "
Useful as this plank might be to the party whose leading men
just now are engaged in a solemn attempt to rough-ride upon both
sides of the question, it must be stated, in the interest of truth
and historical accuracy, that this declaration is not to be
found in the platform adopted by the Republican party this year
at Chicago. On the contrary, this explicit declaration in favor
of reciprocity with Canada is to be found only in the platform
adopted by the Democratic party at St. Louis. It can readily be
understood that the approval of a policy so generally endorsed by
176 Reciprocity.
the business men of the country would have strengthened the Re-
publican platform greatly and have commended it to thousands
who now regard it with little favor because of its omission. The ap-
propriation of this Democratic plank by the compilers of the Re-
publican text book gives greater evidence of good judgment than
was shown by the platform builders at Chicago. The Republican
platform, as a matter of fact, makes only incidental reference to
the subject of reciprocity, which a majority of the voters of the
country, without doubt, regard as one of the most important now
before the American people.
THE PHILIPPINES.
THE REPUBLICAN ATTITUDE TOWARD THE LIBERTY-SEEKING INHABIT-
ANTS OF THE PHILIPPINES. VIEWS OF GROVER CLEVELAND,
WILLIAM JENNINGS BRYAN, RICHARD OLNEY, PRESIDENT
SCHURMAN, GENERAL MILES AND OTHERS.
The United States has no issue involving greater responsibility
than the retention of the Philippine archipelago with its liberty-
seeking population. In the ever-increasing casuistry the opinions
expressed by fearless statesmen, great educators and soldiers can
well be taken into account — they are better entitled to credence than
the partisan statements of persons forced by official employment to
support an Administration of which they are part.
An Administration constantly eulogizing war is bound to regard
conquest as the legitimate adjunct of strife.
The conflict in the East between Eussia and Japan has a preg-
nant bearing upon America's future in the spectacle which it has
offered of a great power reduced to pitiful straits through
need for defending an isolated position, removed thousands of miles
from its base of supplies. Russia's home strength could not be
transmitted to Port Arthur — and hence the spectacle of a giant
bleeding to death at an extremity. In the event of America being
forced into a foreign war, the difficulty that would attend the de-
fense of a scattered archipelago in the Orient is only too obvious.
BRYAN DENOUNCES REPUBLICAN PHILIPPINE POLICY.
William Jennings Bryan, in his speech of acceptance of the Pres-
idential nomination in 1900, arraigned imperialism in these words :
"What is our title to the Philippine Islands ? Do we hold them
by treaty or by conquest ? Did we buy them or did we take them ?
Did we purchase the people? If not, how did we secure title
to them? Were they thrown in with the land? Will the Repub-
licans say that inanimate earth has value, and that when that
earth is molded by the Divine Hand and stamped with the like-
ness of the Creator it becomes a fixture and passes with the soil?
If governments derive their just powers from the consent of the
governed, it is impossible to secure title to people, either by force
or by purchase. We could extinguish Spain's title by treaty,
but if we hold title we must hold it by some method consistent
with out ideas of government. When we made allies of the Fil-
ipinos and armed them to fight against Spain, we disputed Spain's
title. If we buy Spain's title, we are not innocent purchasers.
But even if we had not disputed Spain's title, she could transfer
no greater title than she had, and her title was based on force
alone. We cannot defend such a title, but as Spain gave us a
quit claim deed, we can honorably turn the property over to the
178 The Philippines.
party in possession. Whether any American official gave the Fil-
ipinos moral assurance of independence is not material. There can
be no doubt that we accepted and utilized the services of the Fil-
ipinos, and that when we did so, we had full knowledge that they
were fighting for their own independence, and I submit that his-
tory furnishes no example of turpitude baser than ours if we now
substitute our yoke for the Spanish yoke.
THE ARGUMENT FOR IMPERIALISM.
"Let us consider briefly the reasons which have been given in
support of the imperialistic policy. Some say that it is our duty
to hold the Philippine Islands. But duty is not an argument.
It is a conclusion. To ascertain what our duty is, in any emer-
gency, we must apply well settled and generally accepted princi-
ples. It is our duty to avoid stealing, no matter whether the thing
to be stolen is of great or little value. It is our duty to avoid
killing a human being, no matter where the human being lives
or to what race or class he belongs. Every one recognizes the
obligation imposed upon individuals to observe both the human
and moral law, but, as some deny the application of those laws
to nations, it may not be out of place to quote the opinion of others.
Jefferson, than whom there is no higher political authority, said:
"I know of but one code of morality for men, whether acting singly
or collectively." Franklin, whose learning, wisdom and virtue
are a part of the priceless legacy bequeathed us from the Revolu-
tionary days, expressed the same idea in even stronger language
when he said: "Justice is as strictly due between neighbor na-
tions as between neighbor citizens. A highwayman is as much
a robber when he plunders in a gang as when singly ; and the na-
tion that makes an unjust war is only a great gang."
"Men may dare to do in crowds what they would not dare to do
as individuals, but the moral character of an act is not determined
by the number of those who join in it. Force can defend a right,
but force has never yet created a right. If it was true,
as declared in the resolution of intervention, that the Cubans
"are and of right ought to be free and independent" (language
taken from the Declaration of Independence), it is equally true
that the Filipinos "are and of right ought to be free and inde-
pendent." The right of the Cubans to freedom was not based upon
their proximity to the United States, nor upon the language which
they spoke, nor yet upon the race or races to which they belonged.
Congress by a practically unanimous vote declared that the prin-
ciples enunciated at Philadelphia, in 1776, were still alive and ap-
plicable to the Cubans.
"Who will draw a line, between the natural rights of the Cubans
and the Filipinos? Who will say that the former have a right
to liberty and the latter have no rights which we are bound to
respect? And, if the Filipinos "are, and of right, ought to be
free and independent," what right have we to force our govern-
ment upon them without their consent? Before our duty can
The Philippines. 179
be ascertained, and when their rights are once determined, it is
as much our duty to respect those rights as it was the duty of
Spain to respect the rights of the people of Cuba, or the duty of
England to respect the rights of the American colonists, Eights
never conflict; duties never clash. Can it be our duty to usurp
political rights which belong to others? Can it be our duty to
kill those who, following the example of our forefathers, love
liberty well enough to fight for it?
"If it is said that we have assumed before the world obligations
which make it necessary for us to permanently maintain a gov-
ernment in the Philippine Islands, I reply, first, that the high-
est obligation of this nation is to be true to itself. No obligation
to any particular nation, or to all nations combined, can require
the abandonment of our theory of government and the substitu-
tion of doctrines against which our whole national life has been
a protest. And, second, that our obligations to the Filipinos,
who inhabit the islands, are greater than any obligation which we
can owe to foreigners who have a temporary residence in the Phil-
ippines or desire to trade there.
THE RIGHT OF SELF-GOVERNMENT.
"It is argued by some that the Filipinos are incapable of self-
government and that therefore we owe it to the world to take
control of them. Admiral Dewey, in an official report to the
Navy Department, declared the Filipinos more capable of self-
government than the Cubans, and said that he based his opinion
upon a knowledge of both races. But I will not rest the case
upon the relative advancement of the Filipinos. Henry Clay,
in defending the rights of the people of South America to self-
government, said: "It is the doctrine of thrones that man is
too ignorant to govern himself. Their partisans assert his in-
capacity in reference to all nations; if they cannot command uni-
versal assent to the proposition, it is then remanded to
particular nations; and our pride and our presumption too
often make converts of us. I contend that it is to ar-
raign the disposition of Providence himself, to suppose that he
has created beings incapable of governing themselves, and to be
trampled on by kings. Self-government is the natural government
of men." Clay was right. There are degrees of proficiency in
the art of self-government, but it is a reflection upon the Creator
to say that he denied to any people the capacity of self-govern-
ment. Once admit that some people are capable of self-govern-
ment, and that others are not, and that the capable people have
a right to seize upon and govern the incapable, and you make
force — brute force — the only foundation of government, and in-
vite the reign of the despot. I am not willing to believe that an
all-wise and an all-loving God created the Filipinos, and then left
them thousands of years helpless until the islands attracted the
attention of European nations."
180 The Philippines.
EX-PRESIDENT CLEVELAND ON THE PHILIPPINE PROBLEM.
In his article published in "The Saturday Evening Post/' of
Philadelphia, February 20, 1904, ex-President Grover Cleveland
spoke of the Philippine problem in these words:
"When our Government entered upon a war for the professed
purpose of aiding to self-government and releasing from foreign
rule a struggling people whose cries for liberty were heard at
our very doors, it rallied to its enthusiastic support a nation of
freemen, in whose hearts and minds there was deeply fixed by
heredity and tradition the living belief that all just powers of
government are derived from the consent of the governed.
"It was the mockery of Fate that led us to an unexpected and
unforeseen incident in this conflict, and placed in the path of
our Government, while professing national righteousness, rep-
resenting an honest and liberty-loving people, and intent on a
benevolent, self-sacrificing errand, the temptation of sordid ag-
grandizement and the false glitter of world power.
"No sincerely thoughtful American can recall what followed
without amazement, nor without sadly realizing how the apathy
of our people's trustfulness and their unreflecting acceptance of
alluring representations can be played upon.
"No greater national fall from grace was ever known than
that of the Government of the United States, when in the midst
of high design, while still speaking words of sympathy with the
weak who struggled against the strong, and while still professing
to exemplify before the world a great Republic's love for self-
government and its impulse to stay the bloody hand of oppres-
sion and conquest, it embraced an opportunity offered by the ex-
igencies of its beneficent undertaking, to possess itself of ter-
ritory thousands of miles from our coast, and to conquer and gov-
ern, without pretense of their consent, millions of resisting peo-
ple— a heterogeneous population largely mixed with elements hardly
within the light of civilization, and all far from the prospect of
assimilation with anything American.
"In one hand the party in power held aloft before our people
the dazzling and misleading promise of commercial advantage
and the glory of rivaling monarchical expansion, while with the
other it slaughtered thousands of the abject possessors of the soil
it coveted, and sent messages of death and disease to thousands
of American homes.
"In the wildest exhibition of partisan rancor the Democratic
party cannot be accused of reactionary opposition to any move-
ment within the lines fixed by our national mission and traditions
that tends to increase our country's greatness. It demands, how-
ever, that this mission and these traditions shall above all things
be inviolably preserved as guides to our national activity and
standards for the measurement of every national achievement. De-
mocracy will not be cajoled into silence by the transient appear-
ance of a manufactured or heedless public sentiment, but will
The Philippines. 181
speak, and trust for its vindication to the sober second thought
of our people. Refusing to accept the shallow and discreditable
pretense that our conquest in the Philippines has gone so far as
to be beyond recall or correction, we insist that a nation as well
as an individual is never so magnanimous or great as when false
steps are retraced and the path of honesty and virtue is regained.
"The message of the Democracy to the American people should
courageously enjoin that, in sincere and consistent compliance
with the spirit and profession • of our interference in behalf of
•Cuba's self-government, our beneficent designs toward her should
-also extend to the lands which, as an incident of such interference,
have come under our control; that the people of the Philippine
Islands should be aided in the establishment of a government of
their own; and that when this is accomplished our interference
in their domestic rule should cease."
HON. RICHARD OLNEY.
Ex-Secretary of State Olney, addressing the Harvard Law School
Association in June last, expressed these opinions of the Republican
programme in the Philippines :
"This is a gathering of lawyers — of lawyers from all parts of the
country and among the most intelligent and influential of the pro-
fession. I make no apology, therefore, for calling attention to cer-
tain marked features of the times in which we are living — to fea-
tures with which lawyers as a class are peculiarly concerned, as they
are with everything which relates to the principles of government
and the fundamental laws of the land.
"What I ask you to note is that the old order is changing, chang-
ing swiftly and vitally, and that whether the change be for good or
for evil, is to be temporary or lasting, are matters to which the
American bar can not address itself too seriously. A revolution, in-
deed, is in progress, none the less real that it may not be generally
recognized; only the more important that it relates to ideas and to
ideals rather than to things visible and material ; only the more in-
sinuating and sure in its advance that it follows legal forms, and
marches silently and peacefully without beat of drum or drawing of
sword. * * * A new school of thought has arisen and the
American lawyer of to-day finds himself grappling with ideas for
which he will search in vain any writings or utterances of the great
American jurists of two generations ago.
*******
"Upon the American lawyer, steeped in the doctrine and tradi-
tions of the past, the inquiry at once forces itself, what place has
despotism — even the most benevolent and most intelligent — in our
American political system, and where by searching shall we find it
out ? We may pursue the inquiry after the manner of the Sunday
newspapers and their puzzle pictures. Given the Constitution — the
nation?. 1 chart within whose four corners the lawyer must look for a
1 82 The Philippines.
warrant for every governmental act — puzzle to find therein the
despot.
"But the despot in our governmental scheme is hy no means the
only thing present conditions invite us to look for. There are
others. The orator of the day, for example, with a laudable frank-
ness which ignored any claim of benefit to the people of the United
States from its present Oriental experiment, defended it a few days
since on humanitarian grounds. According to him, we are rich
enough and can afford it, and therefore it is our duty to sacrifice
American lives and American treasure indefinitely and without
stint for the education and elevation of Filipinos according to
American standards.
"But out of any such proposition at once issues another legal
puzzle for the American lawyer — to find in the national Constitu-
tion the principle of altruism; to find in a frame of government
declared on its face by the people adopting it to be designed to
'secure the blessings of liberty to ourselves and our posterity' any
authority for purely philanthropic enterprises — any right in that
government to turn itself into a missionary to the benighted tribes
of islands in the South seas 7,000 miles from our shores; or any
power to tax the toiling masses of this country for the benefit of
motley groups of the brown people of the tropics between whom and
the taxpayers there is absolutely no community either of interest
or of sympathy.
"Again, international law being part of American law and the
equality of nations inter se without regard to size or strength, being
the very basis of all international law, still another search is needed
to find in American law any right in a strong nation to appropriate
the sovereignty or territory of a weak nation, either in the name of
'collective civilization' or in any other name or on any pretext
whatsoever. And, if the search be successful and the doctrine
vindicated that there are superior peoples in whose interest inferior
peoples may rightfully be subjected to a process which would be
expropriation if it did not lack the element of compensation to the
victims, question : Is not a rule which is good for nations good also
for individuals, and why may not the lives and property of the
weaker and inferior citizens in any commmunity be rightfully ex-
propriated for the benefit of the stronger and superior?
"Again, the first principle, as well as essential merit of a written
constitution of government, being that even the most desirable end
must be pursued and attained only in conformity with the funda-
mental law — must not our national code be most carefully interro-
gated for some symptom of the doctrine that the end sanctifies
the means and that to 'get there' by short cuts or paths unprovided
or forbidden is anything else than sheer lawlessness and usurpa-
tion?
"Again, is the great end of government what the founders of the
republic conceived it to be, namely, the maintenance of social order
and the affording of equal opportunity, or have times and men so
changed that paternalism supersedes individualism and that we are
The Philippines. 183
to look with favor on an ever widening field of public activity and
an ever narrowing field of private enterprise?
"Again, as consequences of the Civil War and of the commerce
power and the Fourteenth Amendment as judicially interpreted,
has the State become so weak and so limited in function and the
general government so strong and so pervasive that the latter
now counts as the chief factor in the life of the American citizen,
that the State comes second in his interests and affections, and that
the sphere of local self-government is seriously curtailed?
"That new conceptions of law and of government like those just
indicated, with others akin to them, are rife among us to-day ; that
they are accompanied and accentuated by a political theory that the
'saints'* should enjoy the earth and that the conglomeration of races,
miscalled the Anglo-Saxon, is the 'saints' is not to be denied. They
can not be ignored because in seeming violent contradiction to what
Americans have professed to love and have loudly boasted of in the
past. They can not be whistled down the wind as pure specula-
tions since they are the basis of novel measures and policies of the
most momentous character.
"It is imperative, therefore, that the lawyers of the day should
give them earnest consideration. It is for them to say whether there
is a break with all our past which ought to be and is to be perpetu-
ated; whether American principles as embodied in American con-
stitutions and State papers, once deemed models of wisdom and
inspirations to humanity the world over, are now to be relegated
to the limbo of antiquated superstitions; whether the flag shall
symbolize the ideas and the ideals of the great Americans who are
identified with all that is most glorious in our past history or shall
stand for the theories of the new guides and teachers of the present
hour."
"OUR COUNTRY"-AN OPINION FROM GENERAL MILES.
In April last, speaking before the Iroquois Club in Chicago,
General Nelson A. Miles said:
"We hear the boasting of what we are going to do as a 'world
power/ There never was a world power that compared in phys-
ical grandeur to the great moral world power which we exercised
for a century as a nation of free, independent, just and humane
people, a nation of millions of earnest, patriotic citizens, who
not only conducted their own affairs with justice and equality,
but wielded a splendid influence in behalf of the oppressed of other
lands struggling for independence. That was indeed a world
power which commanded the love and devotion of our own people,
as well as the liberty-loving people of every quarter of the world.
Should we ever lose that national character, our boast of being a
world power by mere brute force would be justly held in contempt
and our existence as a republic would be of short duration. The
world is too familiar with the spectacle of a strong power expand-
184 The Philippines.
ing by subjugation. Rome, the strongest of empires based on
force, thus wrote her history and wrought her ruin.
"To say nothing of the thousands of lives that have been lost
or ruined in the conquest of the Philippines, we have expended
enough treasure, drawn from the people of this country, to have
put water on every quarter-section of our arid land, thereby ben-
efiting millions of our home-builders, • or to have built a splendid
system of good roads over our entire country.
"We find 8,000,000 Malays crowded into these islands in an
area not as large as the territory of New Mexico, a population
greater than that which now occupies the western half of the United
States. Our flag was raised in glory over the halls of the Montezu-
mas, and lowered with honor. Again it was raised in glory over
the capital of the Celestial empire, and lowered with honor. It
was raised in glory over the Island of Cuba, and now with honor
has given place to the last of the seventeen republics that have
been established in the western hemisphere, copied after our own
and embracing 50,000,000 of people.
"I rejoice that the most thoughtful and humane of our fellow-
countrymen are now advocating granting the people of the Phil-
ippine Islands the blessings that we have given to those of Cuba,
thereby establishing the first republic in the Orient. When this
just and generous act is accomplished, the 8,000,000 inhabitants
of those islands will hail it with unspeakable joy, and the great
majority of the people of this country will indorse the benevolent
act. Two hundred days would be sufficient time in which to ac-
complish that glorious result. We need not cultivate an appetite
for the horizon when we have the best country on earth, with un-
developed resources that will occupy our people for hundreds of
years."
PRESIDENT SCHURMAN'S VIEWS ON PHILIPPINE INDEPENDENCE.
At the banquet given in honor of the Filipino commissioners
by the New York Chamber of Commerce, in June last, Professor
Jacob Gould Schurman made an address on independence for the
Philippines, in the course of which he uttered these opinions. Pro-
fessor Schurman, it is remembered, was President of the first Amer-
ican Commission in the Philippine islands:
"Some of our people may want to retain the Philippines, as an Ameri-
can colony, for reasons of commercial or military advantage, or for
prestige or glory in the Orient. They are, however, a minority, influen-
tial, perhaps, yet numerically not large. Practically none of our citi-
zens, I am sure, want to admit the Philippine Islands as territories or
states into our constitutional and federal American Union. Some de-
velopment from the present status along the lines of home rule and ulti-
mate independence is, I think, the more general desire and expectation.
But there is no consensus of opinion as to details. Some favor inde-
pendence in a few years; critics call them idealists, yet history proves
that idealists in politics are generally the most practical statesmen.
Others say it will take a century to fit you gentlemen to govern yourselves ;
nut I suspect that the phrase 'a century' is merely an Oriental mode of
speech for 'a short time.' We prepared the Panamans for independence
in twenty-four hours and the Cubans in twenty-four months. Ten years
The Philippines. 185:
is 3,650 days. Are the Panamans 3,650 times as ripe in their capacity for
political development as the Filipino — the 7,000,000 civilized and Chris-
tian Filipinos?
"Well, the question is for the American people and the Filipino people
to settle. Our people love liberty, they have given independence to Cuba,
they refuse to establish colonies in Central or South America. We be-
lieve in government of the people by the people themselves. We believe
in the government of the Filipinos by the Filipinos. And one day I have-
no doubt the Filipinos will be masters of their own political destiny like
Canada or like Cuba."
CRITICISM OF SECRETARY TAFT'S PHILIPPINE POLICY.
Mr. Moorfield Storey, of the New England Anti-Imperialist"
League, an eminent Boston lawyer, thus assails the Philippine
policy of Judge Taft, transferred a few months since from con-
trol of American affairs in the Philippine Islands to the Secretary-
ship of War:
"How is it with the Americans at home? Does Secretary Taft really
think that they can be trusted 'rightfully to solve the problem when it
arises'? Is he willing to let them decide even the preliminary question
whether the problem has arisen? Apparently not, for in his speech to the-
Chamber of Commerce he says of the men who have signed a petition.
for Filipino independence, and whom in the Outlook he describes as 'a.
number of excellent and prominent gentlemen':
" 'Why should the good people who signed the petition intermeddle with
something the effect of which they are very little able to understand?'
"Who are these men whose ability to understand the Philippine situa-
tion is denied? The list includes Cardinal Gibbons and Archbishop Far-
ley, more than fifty bishops, more than sixty judges, many of our most
prominent men in other walks of life, a long list of college presidents and
leading educators, men like ex-President Cleveland, President Eliot, of
Harvard, President Schurman, of Cornell, himself not without experience
in the Philippines; ex-Senator Edmunds, Charles Francis Adams, An-
drew Carnegie, Wayne Mac Veagh, and thousands of others who are re-
spected throughout the country. These men are the spiritual, the intel-
lectual leaders of the American people.
"If these men are 'little able to understand,' where in our broad land
are we to look for intelligence? If such American leaders must not 'in-
termeddle,' what reason have we to share Secretary Taft's 'abiding con-
fidence in the power of the American people to reach a right conclusion'?
When he says that 'the people of the United States have under their
guidance and control these islands,' why does he tell them, when they try
to guide, that they are intermeddling with what they are unable to un-
derstand ?
"The government of the Philippines by the American people upon this
theory is to be a government not only without the consent of the gov-
erned, but without the consent of the governors. Does not Secretary
Taft see that he must concede to ex-Senator Edmunds, President Schur-
man, and men like these the ability to understand the Philippine situa-
tion, or else admit that there are no Americans who have this ability, un-
less indeed he claims peculiar intellectual gifts for himself and his late
associates on the commission?
"If the American people lack the needed ability in this generation,
is it not a violent assumption that their sons and grandsons will be more
able and more intelligent? If the Americans of to-day are unfit to deal
with the problem, must the Philippines remain in the hands of people
unable to understand their needs, until a new and wiser American people
has supplanted the present generation? This is not a comforting hypothe-
sis either for Americans or Filipinos.
"Surely if the Americans on the islands and the Americans at home
1 86 The Philippines.
are alike not to be trusted, no one is left, unless by American people we are
to understand only the President and his appointees, the Secretary of
War and the Philippine commission.
"If Secretary Taft is right we must have not only 'a new set ot
merchants' in the islands, but a new generation of Americans at home
before the American people can think of governing. Meanwhile the fate
of some 8,000,000 of Asiatics hangs upon the life and health of the half-
dozen Americans who alone have the ability to understand their needs,
unless indeed there is a sacramental virtue in an appointment to the
Philippine Commission, which gives the men who receive it an ability
denied to Cardinal Gibbons, President Eliot, Andrew Carnegie and their
associates. Is it not perfectly apparent that Secretary Taft does not
mean that the American people should deal with the Philippine problem,
but that it should be left wholly in the hands of the President and such
men as he may appoint to govern the islands?
*********
"Secretary Taft told the Chamber of Commerce that 'we have tran-
quillity in the islands.' He is afraid that a promise of independence in
the future would disturb it by raising unfounded hopes. 'Order reigns in
Warsaw.' Does the secretary suppose that a people which has done and
which has suffered so much since 1898 to win its independence, which
has been subdued at such frightful cost by war, by torture, by reconcen-
tration, has ceased to desire independence? Is there in human history an
example of such instant submission to an alien conqueror? How many
of England's oppressive acts have Irishmen forgotten? Are the memories
of our Civil War effaced? Is it possible that the Filipinos have forgotten
their husbands, their fathers, their brothers, and their sons, whose graves
are yet freshly green?
"The secretary deceives himself if he fancies thai; our silence will make
them forget the cause which they have so much at heart. Even if they
are 'tranquil' now, how long will they remain so with the American
resident population abusing them and the government denying them any
hope of better things? Let them understand from us that their object
is our object, that we will work with them for their independence, that
they shall have what Cuba has, and they will be patient, but we cannot
assure tranquillity by postponing the thought of independence for gener-
ations, and leaving it to be granted then by men whose capital will have
been invested in these islands, and who will have a hundred reasons for
holding them where we have one.
" 'Generations' hence means never, and such postponement closes the
door of hope to all men now living and their sons and grandsons. To
suppose that because we do not say independence, the Filipinos do not
think of it, pray for it, and plot for it, is to imitate the ostrich and to
deny the Filipinos the ordinary attributes of men. Secretary Taft would
suppress the dearest aspirations of a whole people and expect them to
submit without a murmur. He really denies the American people any
right to discuss the Philippine question, and insists that we must all
submit to the views which are entertained by him. This is not popular
government, and that it is suggested shows how readily tyranny abroad
become absolutism at home. His policy is sustained by assumptions as to
human nature which are at variance with all experience. They cannot
bear discussion. His words are a silk glove for an iron hand, and they
mean that the United States ought to govern the Philippine Islands as
it likes and as long as it likes, making them daily more valuable to it
and harder to part with, and that its power must be exercised by ad-
ministrative officers, who will be uncontrolled by constitution or by pub-
lic opinion, since the Filipinos without the ballot will have no voice
that their rulers will respect, and the Americans will as now believe their
own countrymen and let the government deal as it will with these un-
known subjects. It is absolute government for 8,000,000 of men, now
and for ever, which Secretary Taft preaches.
The Philippines. 187
"Against it let us set the everlasting truths of the Declaration of
Independence.
*********
"He says that those who desire Philippine independence ask the
United States 'to turn the government (of the Philippines) over to a
small minority made up of a cabal of violent military men, maintain-
ing their power by an army and terrorism and assassination.' Waiv-
ing the question how our own power has been established and maintained,
and saying nothing of Samar, I would emphatically deny that any such
request is made by any opponent of Mr. Taft.
"We ask that the people of the Philippines be given the opportunity
to form a government for themselves, to frame their own constitution,
and to choose their own rulers. We point to the course adopted in
Cuba as a precedent, though we wish no Piatt amendment. We would
have this country by agreement with foreign powers secure the inde-
pendence of the new state as the independence of Switzerland and Bel-
gium is secured. A nation which boasts that it has compelled 'the
open door' in China can at least do this. We would remind our fel-
low-countrymen of the gloomy prophecies which preceded the estab-
lishment of the Cuban republic, now falsified. We would recall the
examples of Mexico and Japan, which have risen to power by our as-
sistance, but not under our sway. We would see the Philippines an-
other Cuba, and so on the anniversary when we celebrate the Declara-
tion of Independence, we shall be enabled again with heads erect to
uphold it in all its original significance instead of trying to explain
it away and limit its application, as Senator Douglas did in defense
of domestic slavery, and as Secretary Taft did in defense of 'criminal
aggression' in his recent speech.
"The policy of the administration in the Philippine Islands is wrong,
— morally, economically, politically wrong. — and from wrong nothing
but evil can come. 'I tremble for my country when I reflect that God
is just,' said Jefferson, but his countrymen went on cheerfully claiming
that they, as the superior race, had a right to own and use as they would
their inferiors, the negroes, and that slavery was a benevolent institu-
tion, promoting the real welfare of the slave, while incidentally profit-
ing the master.
"The argument of the slave owner then is the argument of Secretary
Taft now. and it prevailed 'until every drop of blood drawn by the lash"?
was 'paid by another drawn by the sword,' and Jefferson's fears were
realized in the Civil War, with its long train of evil consequences. The
American of to-day will do well to lay this lesson of history to heart,
and to remember that God is still just, lest another generation may rean
a yet more bitter harvest from the seed of evil which Secretary Taft
and his associates have sown."
THE POLITICAL SIDE OF THE PHILIPPINE QUESTION.
VIEWS OF REPUBLICANS.
Senator Spooner, of Wisconsin, (Congressional Eecord, vol. 32,
p. 1386, Fifty-fifth Congress) said:
"I have heard it said we must expand territorially in order to become
a world power. Are we, in order to be a world power, to extend our ter-
ritorial limits to the uttermost parts of the earth?
* ***********
"I have not been able to see that it is necessary, in order to secure a safe
guarding of our national interests in our relations with the outside world,
188 The Philippines.
that we should forever burden our people to cover the seas with costly ar-
madas. We have had no participation in the struggles of the Old World*
nations over the balance of power. We have sympathized with them in.
their struggles ; we have sympathized with their peoples in the terrible bur-
dens put upon them to maintain great standing armies and great navies..
But their quarrels have not been our quarrels; their policies have not been
our policies. While they have fought we have fed them and manufactured
products for their use. It may not be sentimental or romantic, but
it is true we have grown rich by staying at home and attending to our own;
business.
************
"I look with apprehension upon a policy which may place the United*
States in a position where by force of environment or neighborship we cant
be made a participant in the struggles of the Old World nations over the-
balance of power in the Orient."
Senator Spooner on another occasion said :
"In the event of war the most distant outpost where our flag could be-
found would be the point of first attack, and we would be obliged to main-
tain a navy adequate to protect the millions of people in the Philippines-
seven thousand miles away, Hawaii, and our Atlantic and Pacific coasts-
If our navy were not adequate to all that, our ships being sent far away,
our home coast would be unprotected. This would involve an awful in-
crease of taxation."
Admiral Sampson said in an address delivered in Boston (see
Reed's "Modern Eloquence") :
"Our new possessions will increase by one hundred per cent, the dangers,
of a foreign war."
"TOO HEAVY TO BE BORNE."
Senator Dolliver, at the recent session of Congress, said:
"The time may come when we will, in sheer exhaustion, abandon our
work in the Philippine Islands. Our burdens have been grievous, and
sometimes I have thought they have been almost too heavy to be borne."
COLONIALISM AND TRADE.
Senator Spooner again stated the enlightened view of this ques-
tion when he said in the Fifty-fifth Congress :
"I shrink from the notion that the interests of this country will be
subserved by making permanently a part of our land territory thousands
of miles away, inhabited by people aliens, not of our blood, not of our way
of thinking, foreign to all our associations, living in a tropical climate,
Avhere the white man cannot work, under labor conditions of necessity
which we would not permit to exist in the United States.
* **********#
"It is insisted that we must have territorial expansion in order to ex-
tend our trade. I do not think so. I have been strongly inclined to think
that in the long run, with all the embarrassments and complications and
dangers it will bring upon our people, it will retard rather than develop
the foreign trade of the United States. We have been growing rapidly in
our trade without territorial expansion. To acquire distant, non-assimilable
peoples in order, through permanent dominion, to force our trade upon
them seems to me to be the poorest imaginable national policy. How far
will that be carried? We want the trade of the world, and we intend to
have our share of it. Are we to obtain it by carrying this doctrine of ex-
pansion to the uttermost parts of the earth?
"Permanent dominion over the Philippines by the United States means
to me an endless and vast burden upon the industries of our people.
The Philippines. 189
"Our isolation, Mr. President, is one factor which has aided us in devot-
ing our energies to the development of our resources only just begun.
* ***********
"Nor can I contemplate with equanimity the adoption of any policy
which may bring into perpetual competition with our people the products
>of a labor which in the very nature of things must be cheaper than ours."
WHAT SHALL WE DO WITH THE PHILIPPINES?
It will not do to say, as Mr. Roosevelt does, {hat it would be
"unwise" for him to inform the American public what is the next
thing he intends to do in the Philippine Islands. If he were deal-
ing only with the Filipinos, he might contemptuously tell them
that it is none of their business what he proposed to do; but as
the American people are interested in this question, they are en-
titled to know for what purpose and with what object and for what
probable length of time this administration is spending its money
1 by the hundreds of millions. The Democratic party declares plainly
and unequivocally what it intends to do. President Roosevelt
simply tells the American people that it would be unwise to tell
them what "his next step will be."
If the Republican party will not tell us what it intends to do
with the Philippines, it might, at least, tell us some things it will
not do.
THE PHILIPPINES AND STATEHOOD.
We know that the leading Filipinos and those most friendly to
and most trusted by our own representatives in the Philippines
demand statehood in the American Union, and the only permanent
.alternative to that is absolute independence. The Federal party
in the Philippines, which has been the friend of the United States
from its formation, and from whose membership nearly all the
native officers are drawn, declared for statehood in its first platform,
and that platform before its adoption was submitted to and revised
by Governor Taft and the American members of the Commission.
In the memorial of the Federal party sent to Congress a like
specific demand was made for American citizenship and future
Statehood, coupled with the declaration that, "we reject every thing
which tends toward a colony." Thus it will be seen that the ob-
ject and purpose of the Federal party has been openly proclaimed
and understood from the beginning; and it was with a full knowl-
edge of its platform declaration that Hon. Luke E. Wright, Act-
ing Governor of the Philippines in the absence of Governor Taft,
and now Governor-General, made the following statement in an
address delivered before the Federal party on Washington's birth-
day, 1901 :
"It is because the American authorities believe in the patriotic purpose
of the Federal party; because they believe the party understands and ap-
preciates the intention of America, that they extend the right hand of fel-
lowship to it. It is welcomed into the field because the policy it announces
is in accordance with American principles."
In the same address Governor Wright held out to the Filipinos
:in plain words the promise of "citizenship in the great American
190 The Philippines.
Republic." The policy which the Federal party distinctly "an-
nounces" is the incorporation of eight or ten million Malays into
the body of our citizenship and the admission of a Malay archipel-
ago to Statehood in the Union. Governor Wright declares that
"the policy it announces is in accordance with American princi-
ples."
Such utterances from such high governmental sources in response
to a specific demand from the Filipino people seemed to call for
some plain declaration of policy from the Congress of the United
States; yet when Senator Carmack offered an amendment declar-
ing the opposition of Congress to the admission of the Philippines
to American statehood, it was defeated by the almost unanimous
vote of the Republican party.
It would not be at all surprising if a party which has freely ad-
mitted States unprepared for statehood and Africanized historic
commonwealths to increase its own power should in some desperate
emergency admit the Philippines to statehood merely to strengthen
itself in Congress and the Electoral College. However that may be,
it is plain that the Government is now maintaining a precarious
peace in the Philippines by holding out to the natives the hope of
future statehood. The Committee of visiting Filipinos now in this
country are frank and outspoken in declaring themselves for either
statehood or independence.
"IN THE INTEREST OF THE PHILIPPINES."
President Roosevelt says that we are "governing the Philippines
in the interest of the Philippine people themselves." If the Presi-
dent thinks so, he is of a very different opinion from his Secretary
of War and his Governor- General of the Philippines. The truth is
that our government of the Philippines has been narrow and selfish
in a number of respects. *
When we annexed the Philippines we were overwhelmed with de-
scriptions of the vast wealth and prosperity we should derive from
developing the trade of that country. Then we promptly erected
tariff barriers against it, lest our prosperity should be destroyed by
that very trade. We have maintained this tariff against Philippine
products over the vigorous protest of Governors Taft and Wright,
who declare that it is both injurious to the prosperity of that country
and destructive of the loyalty of its people. Yet a Republican Con-
gress has insisted on dealing with the Philippines as a foreign coun-
try when it comes to tariff taxation. It has cheerfully consented,
however, to consider them as a part of the United States for the
purpose of applying our coast-wise shipping law to trade between
the Philippines and the United States. Governor Taft protested
vigorously, but in vain, against the passage of this lawj warning
Congress that if it should pass "most disastrous results would fol-
low." He again appealed to Congress and begged that if it would
insist on the passage of such a law it should first "strike down the
tariff wall made by the Dingley tariff" against the Philippine
Islands, as some compensation for "the necessary increase of freight
The Philippines. 191
rates" that would necessarily follow from giving a few American
ship owners a monopoly of the carrying trade to the Philippines.
In his protest against the passage of this law, Governor Taft says :
"The people of the islands may well ask, 'What advantage are we
to get out of association with the United States in a business way
if our trade is to be used only for the purpose of increasing the
business of American ships, while the limitation of the coast-wise
laws by increasing the freight rates will reduce the business that we
now have with that country ?' "
Yet, in spite of these protests the law was passed to take effect
in 1905, without any effort made on the part of the President or
the leaders of his party to secure a reduction of the tariff on Philip-
pine products. Senator Carmack offered an amendment to the bill
providing that the freight charges should not exceed by more than
100 per cent, the lowest bid offered for transporting such freight
in foreign vessels, which on the call of the yeas and nays was de-
feated by strict party vote. Governor Taft himself had said that he
preferred to give the American vessels an advantage of 100 per cent,
in freight charges rather than subject the commerce of the Philip-
pines to such a monopoly.
President Roosevelt tells us that we are governing the Philippines
for their own good, but his Philippine Commissioners have been
continually protesting from the very beginning against the narrow-
ness and selfishness of our policy, and President Roosevelt himself
has never lifted hand or voice against it.
"THE OPEN DOOR."
How soon we have forgotten the principles upon which we were
going to act when we took possession of the Philippine Islands!
Then we were to have the "open door." This was distinctly pro-
claimed in annex to Protocol No. 15 in the treaty of peace — "It
being the policy of the United States to maintain in the Philippines
an open door to the world's commerce." Yet when certain interests
demanded it, we promptly imposed an export duty on all hemp
going from the Philippines to any other country except the United
States. Protests are now on file in the State Department from
nearly every country in Europe against this violation of our specific
promise to maintain the "open door" to the commerce of the world.
THE PHILIPPINES CONSIDERED COMMERCIALLY.
Whatever its obligations to civilization and mankind, the
first duty of a republican government is to its citizens. Oper-
ating under a restrictive charter, its revenues derived entirely from
taxes on its citizens, and having no surplus fairly applicable to
any purpose other than the discharge of its obligations and a re-
duction of coming taxes, it is not justified in entering upon a
'I92 The Philippines.
policy or into a purchase, the object or effect of which is to enrich
one class of its citizens at the expense of the mass of the people.
Our Federal government is a governmental corporation, limited
to the powers granted it by the Constitution and expressly pro-
hibited from exercising any power not specifically conferred. Ar-
ticle X. of the amendments of the Constitution says: "The pow-
ers not delegated to the United States by the Constitution, nor
prohibited by it to the States, are reserved to the States respectively
or to the people." Both the Constitution and the amendment jus't
* quoted were designed to protect the rights of the minority from
the encroachments of the majority.
This republic, fraternal in theory, unlike a monarchy, kingdom
or despotism, which is paternal, has no fund on which to draw
for objects not demonstrated to be for the good of the majority
-of its people, its sole revenues being derived from the taxes paid
by all.
This being the character of our government we will proceed
io state impartially the facts from which we can determine whether
or not in justice to the rights of the whole American people we are
warranted in continuing our present policy in regard to the Phil-
ippines ; and whether an increased tax should be imposed upon the
American people in order to provide funds with which to pay army
-contractors for munitions of war and supplies, as they are prac-
tically the only people commercially benefited.
The Philippine question and our whole colonial policy has for its
inception ' the desire to extend private enterprise at the expense
of the people and affords the Republican party another opportunity,
of which it has eagerly availed itself, to demonstrate its contempt
•for the Declaration of Independence and the Constitution.
So far has it departed from the original conception of repre-
sentative government and equal rights, .that it humorously main-
tains the justice of imposing upon the whole people a burden in
actual money of more than $690,000,000 to June 30, 1903, and a
yearly increased expenditure of $50,000,000 and more, that a few
favored interests, principally army contractors, may extend their
Jtrade nominally with these islands, but actually only with the War
Department.
The taxpayer is entitled to know what it has cost the govern-
ment to assert its sovereignty over these islands, and what it will
•cost in the future to maintain the meagre and commercially un-
utilizable sovereignty thus far achieved. They are entitled to know
the probable return to be derived from this expenditure of their
taxes and whether or not a greater trade with these islands could
not have been obtained without such expenditure.
We will consider first the territory purchased; second, limita-
tions and restrictions upon the use of that territory; third, is sov-
ereignty (ownership) essential to trade; fourth, cost to date and
probable cost in future of present policy; fifth, trade for last eleven
years with said territory.
The Philippines. 193
PROPERTY PURCHASED.
The Philippine archipelago was discovered by Magellan on the
3 1st day of March, 1521, and in 1542, a fleet of five vessels was
sent out by Spain to these islands but accomplished nothing. In
1565, Spain sent Miguel Lopez de Legaspi who reached Cebu in
1565. In his company were members of the St. Augustine Broth-
erhood, who introduced Christianity into the Philippines. Le-
gaspi, in 1571, removed from Cebu to Luzon, and made Manila
the Spanish seat of government. Spain gradually extended her
dominion over the low lands and sea coast of these islands, but
never obtained control of the whole territory. Such portions as
she controlled remained in her possession, with but the exception
of a few years, until their cession to the United States by the
Treaty of Paris in 1898.
The Philippines lie wholly in the torrid zone between longitude
120 and 180 and latitude 5 and 20, and so indefinite is the in-
formation in regard to them, that they are variously estimated
as consisting of from 1,100 to 2,000 islands, and generally con-
sidered to be about 1,200.
Luzon, in which is Manila the seat of government, is the largest
and northernmost island of the group and lies between 11 degrees
and 42 minutes and 21 degrees 12 minutes north latitude and 126
degrees 5 minutes east longitude. Its length is 480 miles and the
area is 40,982 square miles. This island is very narrow and is trav-
ersed from north to south by ranges of mountains, some of the
peaks attaining a height of over 8,000 feet. The average width
of the island does not exceed 100 miles, although its extremest
width is about 150 miles.
The next island in point of size is Mindanao, which is inhabited
principally by Moros and is practically unexplored and undevel-
oped. The Visayan group, consisting of Panay, Negros, Cebu,
Masbate, Samar, Leyte and Bohol, inhabited by the Visayans, are
the most densely populated islands of the archipelago.
The Philippine. Islands are of volcanic formation and are in
the earthquake and typhoon zones of the tropics.
The population of the Philippines previous to American occu-
pation was variously estimated at from 8,500,000 to 9,500,000.
The first Philippine Commission concluded that 8,000,000 was
a fair estimate.
The climate differs according to altitude, some witnesses who
appeared before the first Philippine Commission testifying that
at Benguet, in the mountains, ice formed in the winter. The
mountain districts, however, are sparsely settled, generally inac-
cessible and need not be considered, as the : centers of
population are invariably along the sea coast or in areas
of low altitude. The climate generally may be described
as tropical and the mean temperature the year around is in the
neighborhood of about 81°. The extremes of temperature during
the year do not exceed 36°. European races, accustomed to great
194 The Philippines.
variations of temperature, undergo marked mental and physical
deterioration in these islands, losing their virility and mental and
physical energy. Their women rarely become mothers of more than
one child. The permanent occupation of a territory largely de-
pends upon the adaptability of that territory to the reproduction
of the dominant race. Otherwise, its retention demands constant
replenishment from the home of said race. The climate is par-
ticularly fatal to American and European women and children,
and every year during the summer, there is an exodus of these
to the mountains of Japan. Nor is this baneful climatic influ-
ence confined to the women and children. So generally is this fact
recognized that the European or American employees of all for-
eign houses are granted a leave of absence of six months out of
each three years, or one year out of every five, with pay, in which
to recover their health and strength in some northern country.
It is true that a few especially rotoust and healthy Spaniards have
spent many years consecutively in the islands without visible de-
terioration of health.
LIMITATIONS AND RESTRICTIONS UPON DEVELOPMENT
OF ISLANDS.
Our Spanish grantors did not convey to us a property free and
clear but one encumbered by the restrictions of charters already
granted by Spain, imposing a recognition on our part of Spanish
obligations, as will be seen by Article IV. of the Treaty of Peace :
"The United States will, for the term of ten years from the date of
the exchange of the ratifications of the present treaty, admit Spanish
ships and merchandise to the ports of the Philippine Islands on the same
terms as ships and merchandise of the United States."
From the above it is clear that the United States can exercise
no exclusive trade relations with these islands until the expiration of
the date named. Nor is this the only limit placed upon imperial ex-
ploitation of these islands.
Paragraph 2 of Article VIII. of the same treaty imposes even
greater restrictions. The article is as follows :
"And it is hereby declared that the relinquishment or cession, as the
case may be, to which the preceding paragraph refers, cannot in any re-
spect impair the property or rights which by law belong to the peaceful
possession of property of all kinds, of provinces, municipalities, public
or private establishments, ecclesiastical or civic bodies, or any other asso-
ciations having legal capacity to acquire and possess property in the afore-
said territories renounced or ceded, or of private individuals, of whatso-
ever nationality such individuals may be."
In other words, according to the Treaty of Peace to which the
faith and honor of the United States is solemnly pledged, all char-
ters .and franchises granted by Spain must be maintained
by us for their full life. If, as is the case, some Spanish
chartered corporation holds the exclusive banking privilege of the
issue of bank notes in the Philippine Islands it prevents our char-
tering or permitting any other bank of issue to issue its notes in
The Philippines. 195
these islands, and cuts off a most important field for the employ-
ment of capital.
Prior to our occupation exclusive railroad franchises had been
granted by Spain in these islands and unless we forfeit those fran-
chises American railroad corporations must purchase permission
of the present grantees.
The artificial restraints imposed upon the development of these
islands commercially by the Treaty of Peace do not leave us
free to grant franchises to whom we will and consequently capital
here must secure its opportunity from Spanish grantees.
So well recognized is this condition that the present Philippine
Commission under the guise of the development of the islands,
but really for the purpose of traversing Luzon principally with
roads for stragetic, and not commercial purposes, introduced and
there was passed on the 14th of last April a bill by which the
Philippine treasury is to guarantee to the promoters of these roads
five per cent., not to exceed $1,500,000, upon the stock of such roads
for a period not to exceed thirty years. A promoter under such a
guaranty takes no risk for in that time the Philippine treasury
will have paid 150 per cent, on the original investment.
COLONIAL EXPLOITATION.
THE ATTEMPTED COMPACT WITH "PROMOTERS" FOR THE
PHILIPPINES.
The characteristic feature of this mischievous measure was con-
tained in the fourth section of it, which was as follows :
"Section 4. That for the purpose of aiding in the construction, equip-
ment, operation, and maintenance of railroads using steam, electricity, or
other power, in the Philippine Islands, the general government thereof is
authorized to guarantee an income of not exceeding 5 per cent, upon cas^
capital actually invested in the construction and equipment of such rail-
roads, or any part thereof, the guaranty to be in such form and under
such provisions requiring repayment of any sum paid thereunder as said
government shall deem to be to the public interest, and the act making
the guaranty shall declare the proper rules for ascertaining clearly the
cash capital actually invested in said railroads, and the net income ac-
tually received on said capital so invested, and shall set forth the limit
of invested capital to which said guaranty shall apply, and shall provide
for supervision by said government of the conduct of the finances of the
road and its location, construction, and maintenance, as well as by the
presence in the board of directors of two or more government directors,
the number and manner of their selection to be determined by law, as
also by such further supervision, through the auditing, engineering, and
railroad bureaus of said government, as the public interest shall require.
"The said guaranty may be made in the form of a guaranty of interest
on bonds or other income on preferred or common stock, or in such other
form as may be determined by said government, and shall be made on such
other terms and conditions as said government shall approve: Provided,
hoioever, That the total annual contingent liability of said government
under the guaranties authorized by this section shall not at any time ex-
ceed the sum of $1,500,000, and that no such guaranty shall continue for
a longer period than thirty years."
196 The Philippines.
This section was the chief point of attack by the opponents of
the bill. The Democratic minority of the House Committee on
Insular Affairs stated their position in a strong adverse report, in
the course of which they said :
"We aTe opposed to the theory upon which the bill is framed, op-
posed to its whole scope and purpose, which is to tax the people
of the Philippine Islands without their consent and to superimpose
upon them the burdens of large funded indebtedness and guaranties
for profits of private enterprises; all of which are repugnant to
our ideas of right and fair dealing, as well as inimical to the best
interests of the Philippine people, and subversive of the first and
plainest principles of government."
They also said :
"The government which seeks this legislation at the hands of
Congress is in no sense representative of the free and untram-
melled thought and aspirations of the inhabitants of the islands.
It is an American-imposed, force-maintained oligarchy — the blend-
ing of a military despotism and a civil autocracy — exercising mili-
tary and civil powers, and making and administering the laws
under which are governed 7,500,000 people. Those who are to
bear the additional burdens of taxation to be imposed for these
proposed railroad subsidies have not been, and are not to be, con-
sulted."
The bill was discussed very briefly, and under the special order
of the House, no amendments could be offered to it. Mr. Williams
of Illinois made the principal speech on the Democratic side of
the question. This speech covers the grounds of the dispute so
well that it is given below almost in full. Mr. Williams said :
"There is very little to encourage any discussion of a bill of
this character after the House has already adopted a rule that pre-
vents any amendment. I was surprised at the explanation or
defense made by the distinguished gentleman from Pennsylvania
(Mr. Dalzell), when this rule was under consideration.' He of-
fered as an excuse that the House was now in the closing days of
the session, and therefore it was necessary to limit the time for
the consideration of this bill.
"The Committee on Kules might have limited the time for its
consideration, and still have left to this House the right to amend
this bill. I know sometimes it occurs that bills containing but
a single proposition, or embracing a single subject, might stand
or fall as an entirety ; and there is much more reason for the Com-
mittee on Eules denying the right of amendment in such cases than
there is in the case now before the House. The bill under consid-
eration embraces more than one subject, and yet you have got to
accept it or reject it as as entire proposition.
"1 insist that in justice to the people of the Philippine Islands,
for whom this Congress is now legislating, this House should have
had the right to consider and vote upon amendments to some of
the provisions of this bill. There is one provision at least that
in my judgment is indefensible. It is a provision that does not
The Philippines. 197
meet the approval of all the Republicans in this House; and the
distinguished chairman of the Committee on Insular Affairs was
frank enough to admit in his opening speech that there were Re-
publicans who were already complaining against the fourth sec-
tion or railroad provision of this bill. It ought to be amended ; it
ought to be stricken out entirely, or, if not, materially amended.
Whether it was the intention or not, the Committee on Rules, in
the interest of the great corporate concerns in this country that
are to reap the benefit of this outrageous legislation against the
people of the Philippine Islands, has prevented any amendment
being considered."
"Mr. Tawney. What amendment does the gentleman refer to ?"
"Mr. Williams, of Illinois. I refer to one of the amendments of-
fered in the committee, to strike out sections 4 and 5 of this bill.
The bill has not been discussed. There are not two lawyers on that
side of the House who will agree on the construction of that am-
biguous provision. Refund what? Repay when? All in the discre-
tion of the Philippine Commission, no definite provision requiring
that the guaranty shall ever be refunded. What is to be the effect of
this ? The effect of it is shown in the answer of Judge Taft to a ques-
tion asked him by myself when he appeared before the committee.
He admits that there are several railroads that might be built with-
out subsidy ; but he says f ranklv that if this bill becomes law every
company attempting to build a railroad is likely to contend for a
subsidy. You are simply forcing the people of the Philippine
Islands to pay a subsidy for every railroad that is to be built here-
after in the Philippine Islands."
"Mr. Tawney. In the event that this guaranty is made by the
Philippine government, will it have to pay anything if the earn-
ings of the railroads ever equal 5 per cent. ?
"Mr. Williams, of Illinois. Let me show the gentleman how easy
it will be to prevent any of the earnings from ever being credited
on this guaranty. A railroad company constructs its railway, say,
for $10,000,000, of an inferior character, if you please. It goes
into operation. It puts its earnings into the betterment of the road,
in building better bridges, better depots, and other improvements,
and the earnings of the railroad go to enhancing the value of the
property, while the people of the islands pay the 5 per cent, that
makes up the dividends to the stockholders.
"Only four months ago Governor Taft thought some of these
railroads could be built without any subsidy at all and he only asked
for 3 or 4 per cent, guaranty to be given to other roads. But since
he came to the United States and has had an opportunity to dis-
cuss this matter with railroad builders he has raised his guaranty
to 5 per cent. And who pays it? The people of the Philippine
Islands. What for? To educate them, they say.
"It has only been lately, not much over a year, since we were com-
pelled to furnish them with about $3,000,000 for the necessaries of
life, and yet we are to take out of their pockets a million and a
half a year instead of letting them use it in building school-houses,
198 The Philippines.
employing teachers to educate themselves, and for other necessaries,
and give it to the railroad syndicates in the United States in order
to encourage American capital ; and that is the kind of legislation
that is being enacted by this House for the people of the Philippine
Islands !
"If these islands have all the valuable resources so often claimed
for them in the House, railroads should go there without being
subsidized. If you authorize the commission to make this guar-
anty, the islands will not get a single road without it. Why not
wait till those roads are constructed which foreign capital is will-
ing to build without any guaranty or aid? You can't build all
these roads at once. The labor there will not justify it. Then
why not build them as they are being built in other countries, by
building those lines first that are needed worst and building them
without subsidies; and before you fasten this measure upon the
people of the Philippine Islands, wait until they get a legislative
body of their own people ?
"Under this law the Philippine Commission can place a debt of
5 per cent, interest running for thirty years on the islands for the
purpose of constructing railroads that some of their people will
not see in a lifetime. They can tax the people of one island to
build railroads in some other island which would be of no benefit
whatever to them. Who is going to get the railroads if we put
this power in the hands of this American agent of ours in the
Philippine Islands? What has been the experience of our own
legislative body here in this country ? Do you tell me that lobbies
will have no effect."
BANKING.
The banking of the islands is at present controlled by the Hong
Kong and Shanghai Banking Company, an English corporation,
with an enormous capital and surplus, having agencies in all the
chief cities of the world, and the chartered Bank of India, Aus-
tralia and China, another English corporation almost equally as
strong and having similar agencies. These two corporations con-
trol the rate of exchange not only in the Philippines, but through-
out Eastern Asia and Australasia. They control, through own-
ership of a majority of its stock, the Banco Espanol-Filipino, which
has the exclusive power of note issue in the archipelago.
The banking system of the islands is so totally different from
ours as to require explanation. There is no such thing as a bank
of deposit and discount as commonly known here. There is no
commercial paper to discount, each merchant being to a large ex-
tent his own banker. On his deposits with the banks he is al-
lowed interest. Under the exclusive charter of the Filipino bank,
American banks of .issue can not be established, and the Ameri-
can merchant or trader would lack the bank accommodation he
receives in America.
The conditions of trade are entirely different. The large Eng-
lish exporting houses, the great German importing houses and
The Philippines. 199
the Spanish and Swiss houses as well as the Chinese merchants,
have large capital and are content to turn over their capital twice
a year. A Manila house with a capital of half a million dollars
is well satisfied to do a business of a million dollars a year, whereas
an American house in America with a capital of half a million
of dollars would expect to do at least five millions of dollars a
year. The slowness with which capital is turned over in the Phil-
ippines as compared with the United States, the greater amount
of capital required to do a given amount of business, the absence
of the banking facilities to which the American merchant is ac-
customed, and on which he is largely dependent, renders absolutely
improbable and clearly unprofitable the diversion of American
capital from the profitable field of American employment to the
unprofitable field of Philippine.
The investment of money in large amounts is not a matter of
sentiment, and even could permanent peace be assured, the em-
ployment of capital there will 'be determined solely by whether or
not it can be used there "as safely and to better advantage than
elsewhere. Investments do not necessarily follow the flag.
Even providing that franchises could be obtained for large un-
dertakings in these islands, it would be impossible in America to
secure this capital, and this inability is not due to ignorance of
the islands, but rather to knowledge concerning them. As early
as 1899, the representatives of several large banking houses in
New York went to Manila and carefully investigated the situa-
tion, and the masterly inactivity of their principals is the best
proof of the reports they received. Other Americans spent months
studying the commercial opportunities in the islands, and only
a few have remained to sell cooling and other beverages to thirsty
Americans. The only American industry which has attracted
American capital to the Philippine Islands is the liquor business.
RAILROADS.
While the dense population of Luzon and of the Visayas, the
civilized portions of the Philippines, and containing more than
nine-tenths of its entire population, would with an assurance of
permanent peace, seem to offer a fair field for railroad enterprises
this promise is dispelled the moment actual conditions are un-
derstood. The freights which these roads would carry (and
freights are regarded as the chief source of support of a railroad)
principally the exports and imports of the islands are not of a
perishable nature. They do not demand quick transportation
nor could they stand a more expensive transportation charge than
that which they now pay. Even the Manila and Dagupan Rail-
road, which is less subject to water competition than almost any
conceivable line in these islands, has never been self-supporting
despite its large earnings from the passenger traffic of the native
pilgrims who annually visit the Shrine of the Virgin of Anti Polo,
and which earnings no new road, unless it could establish some
equally famous shrine along its route, could reasonably expect.
200 The Philippines.
The answer of the well-informed banker or investor to any prop-
osition to invest in a Philippine enterprise would be: "These is-
lands may possess enormous mineral riches, but that has not yet
been demonstrated, although for three hundred years they have
been open to the civilized world, and capital has been invited there.
To-day and for centuries past, the country has been agricultural,
producing products of a non-perishable nature, not requiring quick
transit, and nature has afforded the islanders the cheapest and
most natural means of transport in its innumerable rivers and
water ways. No matter what the natural resources or what the
rights and wrongs of the contention may be, while the present
climatic, governmental and seismatic conditions prevail, I am not
justified in risking my own or advising others to risk their capital
in hazardous enterprises, while there are safe and profitable in-
vestments at home or in other countries with staple governments
supported by their own people, and the needs of which peoples
I understand."
The Kepublican Text Book, page 305, states:
"Banks. In addition to the banks existing in Manila prior to Ameri-
can occupation, branch banks have been established by the Guaranty
Trust Company, of New York, and the International Banking Corporation,
and one private American bank has been established.
"The inauguration of these banks is a great step forward in connecting
the trade and financial affairs of the Philippines with those of the United
States."
The Guaranty Trust Company of New York, within the last
three or four months, has discontinued its agency in the Phil-
ippines, although it had been the Government depository there.
The International Banking Corporation, with modest offices on
the upper floors of No. 1 Wall street, which is now the Government
depository in Manila, still retains an agency there. No private
American bank is now in existence in the Philippines, the In-
ternational Banking Corporation being the only American bank
in the islands.
The withdrawal of the Guaranty Trust Company of New York
and the absence of "the private American bank" is a step back-
ward. It is a pity that American banking enterprise should emu-
late the example of the crab rather than that of the horse.
COMMERCE.
The chief industry of the islands is agriculture; the manufacture
of cigars and cigarettes, the weaving of Pina cloth, the export,
principally to China, of birds' nests, give occupation to a small
portion of the natives, but the country is essentially agricultural.
The methods employed are primitive, because labor is cheap.
Much stress has been laid by Republicans upon the enormous
profit to be derived from the marketing of the valuable hard woods
The Philippines. 201
of vthe Philippines, in which connection it is well to state that while
many valuable woods are found in both the Philippine and other
Asiatic tropical countries the more accessible have been already
to a large extent cut.' Nearly all of the Eastern Asian shipping
ports annually import from the Pacific coast American wood
suitable for spars, beams, etc., even of coasting vessels. In the
Philippines the trees constituting the more valuable woods are so
separated, the underbrush so dense, and the lack of roads so
common as to render them inaccessible and their preparation for
the market through the employment of large plants commercially
unprofitable. In fact, in most of the civilized and densely popu-
lated parts of the islands the valuable and accessible timbers have
already been cut and only the inaccessible or inferior timbers re-
main.
So far as the American workman is concerned the Philippines
will never offer a field for his employment owing to the cheaper
wage and less wants of the natives as well as the climatic condi-
tions, which prevent the Caucasian engaging in continuous manual
labor in these islands. Only the European capitalists and the
American bounty or tariff-fed contractor can hope to commercially
utilize the islands.
The Philippine Tariff is a further restriction. The present Com-
mission passed an act placing different duties on the various arti-
cles imported into the Philippines. In almost every instance these
duties were specific and not ad valorem, and therefore their rate
can only be determined by taking the price of the article imported
at the time the duty is paid. This is a most serious handicap on
business.
The Filipinos themselves in their constitution adopted at Malo-
los and in various proposed constitutions submitted to the first
Philippine Commission proposed a revenue tariff with very low
rates, or absolute free trade.
The 25 per cent, reduction on the Dingley bill rates on Philip-
pine goods exported to the United States will have but little effect
in encouraging exports, especially when it is borne in mind that
export duties are imposed by the Philippine Tariff on many of their
chief products.
While the duties collected on Philippine exports to the United
States are returned to the Insular treasury and used for insular
purposes, they still constitute a charge on these imports which ad-
here to them and must be finally paid by the consumer. The mere
fact that the duties are returned to the islands makes no difference
to the producer or to the consumer, because these returned duties
in no case reach either of these persons, and continue to hamper
trade.
ANGLO-SAXON CIVILIZATION.
The United States from want of experience in dealing with
tropical and Asiatic peoples has predicated its hope of remunera-
tive trade with the Philippines upon educating these natives to an
202 The Philippines.
Anglo-Saxon standard of civilization or needs; forgetting that
there is also an Asiatic and tropical civilization, with fewer needs
and better adapted to the climatic and industrial conditions which
prevail and must continue to prevail in these islands, unless the
Filipino people are to be exterminated by forcing upon them a
standard of life utterly incompatible with their environment.
The intense mental and physical life necessary to support the
Anglo-Saxon standard would mean the extermination of any South
Asiatic or tropical people.
Their wants are few. Nature is abundant in her supply of the
absolute necessities of the people and any attempt to impose upon
them the commercially and industrially intense life of the ordinary
citizens of this country would be fatal when their delicate constitu-
tions and climatic environment are considered.
Their standards and philosophy of life are so radically different
from ours that the average American entirely fails to comprehend
them and in his impatience accuses them of imbecility.
In our labor markets, to complete a given enterprise in a limited
time all the contractor has to do is to offer sufficient pecuniary re-
ward. The average American workman is always willing to do
more work for more money. This is not true of the Philippine
laborer or servant. If a Filipino laborer were offered double the
wages by a prospective employer than he was receiving from his
present employer he would answer, "Why should I do more work
than I now have to do? My present master treats me fairly and
pays me enough for me to secure what I need. If I leave him you
will expect me to do much more work. The Philippine sun is hot
and I do not need to work more than I now do."
Neither Americans, Europeans nor Filipinos can1 work in the
tropics as they do in the temperate zone and it is futile to attempt
to make them do so.
The wants of the average native are few. He consumes no malt
or distilled liquors, eats but little meat, his diet consisting chiefly
of rice and fish; his clothing, while sufficient for decency, is scant,
consisting of pantaloons, an undershirt and a combination of shirt
and coat worn outside of the pantaloons, and a hat made of native
grass. The ordinary Filipino goes bare-footed.
The cloth from which his garments are made is generally of
the cheapest quality of German cotton goods and rarely costs more
than 50 to 60 cents for a suit; woolen clothing is rarely used.
Of course, the wealthy Filipinos and rich Mestizos buy expensive
clothing and many jewels, the women's clothing coming principally
from France and Spain, while their kerchiefs are made of the cele-
brated Pina cloth of domestic manufacture ; that of the men chiefly
from Spain and Germany.
American clothing, shoes and household utensils are entirely
unsuited to these people, and there is no likelihood of our ever find-
ing any profitable market in the Philippines for any cloth stuffs
other than the cheapest grades of cotton goods.
The Philippines. 203
LABOR QUESTION.
For the American or foreigner engaging in any enterprise in
the Philippines the labor question is one of the most important
which he has to meet. The native laborer is extremely independ-
ent and, while industrious at times, refuses to accommodate him-
self to ordinary industrial conditions. His numerous religious ob-
servations and fiestas become a source of great annoyance to a con-
tractor or business man, so much so that the Chinese ' are very
largely employed on work which has to be completed within a given
time. The native is primarily an agriculturist and his delicate
physique and lack of great physical strength and endurance render
him an unsuccessful competitor with the Chinese in the severer
kinds of manual work. A large proportion of the artisans of
Manila and the chief cities and towns in the Philippines, especially
the seaports, are Chinese.
There is a great racial antipathy between the Chinese and the
natives, due first to the frugality, industry and patience of the
Chinamen, making him one of the most desirable laborers to be had,
and, second, to the frequent incursions of Chinese pirates to which
the Philippine people were subjected during the earlier years of
Spanish dominion. So acute was this antipathy and it led to so
much discontent that the Spanish Government imposed various re-
strictions upon the incoming of the Chinese, without which these
industrious Mongolians would soon have dominated the labor and
industrial markets, as they already had done in the lesser whole-
sale and retail trade of .the islands.
Much testimony was taken by the first Philippine Commission
on the subject of the admission or exclusion of the Chinese. Some
witnesses contended that they were essential to the development of
the country, others that they were not, but all practically agreed
that they should be admitted under well defined restrictions or
for a limited time for the performance of specific work.
OBSTACLES TO DEVELOPMENT.
The natural restrictions and limitations are even greater than
the artificial. As stated the Philippine Islands are of volcanic
origin, tropical location, in the earthquake area, and their western
shores, the populous and civilized part of the islands, are washed by
the China Sea, perhaps the most dangerous and turbulent sheet
of water in the world, subject to typhoons of considerable frequency
and great destructiveness. The rain fall in these islands is so great
at times as to wash away the best built bridges and undermine the
finest roads. The road from Manila out to the City Water Works
pumping station, some six miles distant, is as fine a macadam road
as can be found anywhere; but, in 1899, a severe rain fall cut
gullies six or eight feet in this road and rendered it impassable until
repaired.
"204 The Philippines.
The greatest natural obstacle to permanent investment in the
Philippines is the frequency of earthquakes and the necessarily
fragile character of their buildings. There is not an old masonry
building or cathedral in the islands that does not bear evidence of
their destructiveness. Some have cracks extending from base to
dome and it is a common sight to see shattered columns of broken
statuary on the ground near cathedrals. To avoid the danger of
injury from earthquakes the great cathedral of San Sebastian is
made of steel.
The mercantile buildings and houses, above a masonry or brick
foundation of 12 to 14 feet in height, are entirely of wood, except
that the roofs of the more expensive buildings are of corrugated
iron. The buildings are no more than two stories in height and are
especially designed to withstand destruction by earthquakes. There
is no portion of the globe so subject to violent siesmic disturbances
as the Philippines. In the earthquake of 1641 entire towns were
destroyed and the surface of the country changed. The city of
Manila became a mass of ruins, thousands of people were killed
and the streets choked with the ruins of fallen buildings and cathe-
drals.
There has been since that time an average of at least one de-
structive earthquake every twenty years.
These conditions preclude the investment of large sums of money
in permanent undertakings requiring large building or fixed struc-
tures.
Land transportation companies, railroads, are rendered both un-
necessary and unprofitable by the numerous natural waterways
which gridiron the fertile and cultivated portions of the islands
and furnish a natural, cheap, and to the natives, attractive means
of transportation for their non-perishable exports which alone seek
the markets of the world, and which would be seriously handicapped
if loaded with heavy rail transportation charges.
The peculiar situation of the Philippines almost on the equator
puts them entirely out of the line of travel of boats from the Pacific
coast of America to Asia. Owing to the fact that the maximum
circumference of the earth at the equator gradually diminishes
as we approach the poles the favorite route for these vessels is up
the Pacific coast by way of the Aleutian Islands, and down the
east coast of Asia touching at the important ports of Yokohoma,
Kobe, Nagasaki, Shanghai and Hong Kong, or else by way of the
Hawaiian Islands touching at Honolulu and thence to Hong Kong
and up to Nagasaki. By either of these routes ships would have
to go more than a thousand miles out of their way to touch the
Philippines, which do not furnish cargoes sufficient to justify the
large vessels of any of the American China-Japanese trade in so
doing.
To reach Manila, situated as it is inland, on the Bay of Manila,
on the west coast of the Island of Luzon, equi-distant of the length
of said island, which is 480 miles, a boat from America must go at
least, 240 miles out of her way. Manila Bay is a large gulf subject to
The Philippines. 205
violent storms, and so shallow that a boat drawing 14 feet of water
cannot approach the city nearer than four miles. Only boats
drawing not more than 8 feet can reach the city itself. Ocean-
going vessels are all loaded and unloaded by lighters, and although
millions have been spent in attempts to deepen Manila harbor the
severe tropical rain falls and floods have filled it up faster than men
and machinery could deepen it.
The city, however, does form a stopping port between South-
eastern Asia, Australasia and Australia, but as Singapore, Batavia
and Columbo all furnish larger cargoes than Manila, only a small
percentage of the Australian steamers make this a regular stop.
The trade between the last named points is entirely in other hands.
No great capital can be created which is situated out of the ordinary
lines of travel and fed by a very small territory and a limited popu-
lation. Manila, commercially, can be little more than the port of
receipt and distribution of Luzon products and imports. Iloilo, on
the east coast of Panay, and Cebu, on the island of the same name,
are successful rivals and handle the sugar business and a large
part of the hemp of the Visayan group.
The trade of the eastern Pacific Coast is already centered
chiefly in Hong Kong, a free port, and Shanghai, in China, and
Kobe, Nagasaki, and Yokohoma in Japan, and Dalny and Vladi-
vostok in Manchuria. These cities all have vast contiguous ter-
ritory and dense populations to drain and supply, save the two
Russian cities last mentioned. Hong Kong, founded less than three-
quarters of a century ago, is to-day the most important commercial
center in Eastern Asia. This is due to a variety of causes, princi-
pally its location in the southeastern part of China, its proximity
to Canton and the enormous Chinese population contiguous. The
same conditions apply to Shanghai and the Japanese cities named.
None of these conditions prevail in regard to Manila, and in its
more than 300 years of existence its commercial importance is in-
significant compared to that of any of the cities named. These
conditions must continue and render Manila for all time chiefly
important as the center of government of the Philippine Archi-
pelago.
IS SOVEREIGNTY ESSENTIAL TO TRADE?
That the trade of countries is not dependent in any sense upon
sovereignty is shown by the fact that our exports to Cuba with a
population of 1,600,000, over whom we assert no sovereignty,
but only a very limited suzerainty amount to $21,769,572, and
our imports from there are $62,341,942, while our exports to the
Philippine Islands with a population of 8,000,000 are $4,028,-
206 The Philippines.
G77, and our imports from them are $11,372,584 for the year end-
ing June 30, 1903.
Our trade with British South Africa with a population of less
than 5,000,000 inhabitants for the year ending June 30, 1903,
was $33,788,629.
The chief imports of the Philippines are from Germany, Eng-
land, France, Spain and China. Our trade with these islands
rests entirely upon the prices at which we can supply the islands
with the products which they demand.
So far from our sovereignty being a means of increasing our
trade with the Philippines, it has just the contrary effect : first, for
a period of at least two years it rendered unproductive the most
fertile and. wealthy part of the islands, millions upon millions
of property were destroyed, whole provinces devasted, and an
agricultural people concentrated in what we term zones of Amer-
ican influence, 'but which in the case of Spain's attempt to reduce
Cuba to submission were known as reconcentration camps. We
emulated the despised methods of Spain in the Philippines, and
even within the last two months an order has been issued by Gover-
nor-General Wright, ordering the concentration of the inhabitants
of one of the Visayan Islands, although we have been repeat-
edly informed that peace, tranquillity and eager acceptance of
American rule everywhere prevail, save in the Moro country.
The three years of war, which war is not yet wholly terminated,
have rendered practically the whole Filipino people hostile. Hos-
tility is not a good foundation for commercial intercourse. Amer-
ican enterprise is looked upon with less favor than that of any other
country, save perhaps China, by the Filipino.
If these islands had been justly treated and given an autonomy
similar to that of Cuba, — for they are more capable of self-gov-
ernment than are the Cubans, as has been attested by many com-
petent observers acquainted with both peoples, — America would
have been regarded as their friend. We would not then have been
embarrassed with Spanish limitations upon franchises, nor com-
pelled, in order to maintain protection at home, to engraft upon
the government of these helpless islanders a system designed for
the restraint of trade. American capital and merchandise would
have been welcomed in the islands. The islanders would have
regarded us as their friends not as their enemies. Commerce is
not predicated upon antagonism. Self-government for the Phil-
ippines would not decrease but increase the consumption of Amer-
ican goods. Had these people been treated justly, they would
have only too gladly extended to us most advantageous privileges.
Indeed they would have allowed us to name our own terms. We
have unfortunately antagonized and alienated a people out of whom
we might, wifh little cost, have made to ourselves, a lasting friend.
The Philippines. 207
COST TO THE UNITED STATES TO JUNE 30, 1903.
Purchase Price (Quit-Claim deed from dispossessed owner).. . . $20,000,000
Purchase price, Friars' lands 7,239,000
Increased army expenditure for five years over average expendi-
ture previous thereto, 1899, 1900, 1901, 1902 and 1903 500,000,000
Boats for patroling island waters and increase in naval ex-
penses due solely to Philippine acquisition during said
period. (Estimated) 25,000,000
Appropriation for first Philippine Commission $250,000; spent
by Commission 179,000
Transport service and cost of vessels. (Estimated) 50,000,000
$602,418,000
In addition to the above known amounts must be considered
claims filed against the United States for destruction of property
of aliens and non-beligerents, which amounted in 1899 to over $20,-
000,000, but as they are subject to adjudication by the courts, the
total awards can not be established. This is a minimum estimate
of the cost to June 30, 1903, from the facts obtainable. Informa-
tion in regard to the exact cost is very difficult of access.
The average cost of the maintenance of the United States army
under Mr. Cleveland's two administrations did not exceed $46,-
000,000 per annum; whereas for the years 1900, 1901, 1902 and
1903 (the year 1899 being omitted as not constituting any fair es-
timate of the average cost owing to the fact that active operations
-against the Philippines were then proceeding) averages $127,000,-
000 a year or a difference of $81,000,000 a year increased ex-
pense for War Department under Eepublican administration and
colonial policy as opposed to free government under constitutional
restraints by a Democratic administration.
But this does not measure the cost to the taxpayers of the United
States. The initial $600,000,000, the probable $50,000,000 annu-
ally, stupendous as these figures are, yet fail to indicate the loss
to our people. Consider the average productivity of $600,000,000
employed in agriculture, manufacturing, or any activity of life,
the yearly interest of which at the legal rate would be $36,000,000.
In other words, a capital sufficient at six per cent, to earn $36,-
000,000 has been subtracted from the wealth of the individual
citizens of this country.
In addition to the foregoing is : Increased cost of Navy Depart-
ment due to colonial expansion and principally chargeable against
the retention of the Philippines. For the five years preceding
1898, the year of the Spanish war, which is omitted although the
chief operations of the navy in the Philippines occurred during that
year, the expenses of the Navy Department were: 1893, $30,136,-
•084; 1894, $31,710,294; 1895, $28,797,796; 1896, $27,147,732 ;
1897, $34,561,546, making a total of $152,553,452, or an annual
average of $30,470,690.
For five years of occupation of Philippines and extension of
208 The Philippines.
colonial policy: 1899, $63,942,104; 1900, $55,953,078; 1901,
$60,506,978; 1902, $67,803,138 and 1903, $82,618,024, making
a total of $330,823,322, or an annual average of $66,164,664, show-
ing an average annual increase in the Navy Department of $35,-
693,974 and a total difference for the five years of $178,469,870.
For the fiscal year ending June 30, 1905, the appropriations for
the navy amount to $98,005,140.
Under colonial expansion the cost of the Navy Department has
increased more than one hundred per cent., and while it is true that
we have the vessels remaining, representing a large portion of this
cost, it is equally true that without foreign dependencies the
greater part of this increased cost need not have been incurred.
If our present colonial policy is persisted in the Navy Depart-
ment in the next five years will show an annual expenditure of
more than $100,000,000 a year, and in order to put the United
States on anything like an equality with even second and third rate
naval powers the expenditure will have to reach $150,000,000 a year.
To continue the present colonial policy with its already enor-
mous and, in the future greatly increasing, expenditure is to
abandon deliberately our advantages of geographical isolation and
a restricted coast line and to impose upon this country the burdens
of militarism and an enormous navy which are absolutely indis-
pensable to its continuance. While a colonial policy may be justi-
fied by the densely populated and land area restricted powers of
Europe it certainly is not justified by the sparsely settled, largely
undeveloped and enormous land holding United States.
The expenses of such a policy must go on increasing as the
militarism of Europe becomes more and more marked. We must
keep pace with European colony-holding countries if we are to con-
tinue that policy ourselves.
In addition to the initial expense cost already shown must be
added that of pensions for the survivors of those killed, to the in-
valided, the disabled and the destitute. An army permanently in-
creased, a biennial sending of American soldiers to unhealthy
tropical islands where the death rate is very high, and where in-
sanity is a common result of residence in these islands, as is shown
by the very large number of insane soldiers returned from the
islands, must make a large number of pensioners.
The exact cost to the United States is a matter absolutely beyond
accurate computation. It- certainly can not have been less than
$600,000,000 as a minimum, and how much beyond that can be
determined relatively from a study of the above facts.
COST TO THE PHILIPPINES.
The cost to the Filipinos is not ascertainable in money owing
to the fact that the amount of destruction directly attributable
to hostilities can not be ascertained. All industrires in whole prov-
inces situated in the most densely populated and fertile parts of
Luzon and the Visayas ceased for months and months, and in
some instances for more than two years. Villages were burned,
The Philippines. 209
and the people concentrated in limited areas and fed from the
government's stores. Their ability as producers was for the time
being, absolutely eliminated. So great was the destruction of
property and so widespread the destitution in certain sections,
that the Federal Government made an appropriation of $3,000,000
for the purchase of supplies for the famine-stricken natives.
The exact number of Filipinos who were killed in the differ-
ent engagements and those who died from wounds or priva-
tions incident to hostilities and reconcentration can not be accur-
ately ascertained, but the native population in certain provinces was
very seriously reduced.
COST OF RETENTION.
In addition to this expense already incurred should be calculated
the cost of maintaining what sovereignty we have already achieved
in the islands, and which sovereignty beyond the range of Amer-
ican guns is ineffective for the protection of commercial, indus-
trial or transportation enterprises controlled by Americans.
Nor is this all. Not to speak of the army of 71,000 in the islands
during the first eighteen months there is still a standing army of
15,000 soldiers, which means an annual subtraction from the pro-
ducing labor of this country of an adult male population equiva-
lent to that of a large city. .
In considering the cost of the retention of the Philippines, the
fact must be remembered that the coast line of these 1,200 to 1,400
islands constitutes more than 15,000 miles. The coast line of the
Philippine Islands is more than twice as long as that of the
United States. This renders them peculiarly liable to attack of
any hostile power, and the ease with which we took these islands
from Spain is but an illustration of how difficult it would be to
defend them and how easily they could be taken from us in case
of war with a strong naval power. So long as we remained a
country geographically isolated with our seaboard cities well for-
tified, a great navy was unnecessary, but the holding of col-
onies thousands of miles distant from the home government im-
poses on that government the responsibility and expense of protect-
ing them.
TRADE OF THE UNITED STATES WITH THESE ISLANDS
PREVIOUS TO AND SINCE OUR OCCUPATION.
In the fiscal year ending 1903 the exports from the United States
to the Philippines were $4,028,677 and our imports from these is-
lands for the same period were $11,372,584.
The imports from foreign countries to these islands for the year
ending June 30, 1902, were $28,105,948 and the exports were $16,-
229,768.
210 The Philippines.
After four years of occupation we find that the United States
sells to the Philippine Islands but one-seventh of its imports, and
this at a cost of more than $647,000,000 expense to that date for
our assertion of sovereignty. But even this shows no actual
growth in legitimate commerce, as will appear from examination
of the following table from the Treasury Department's Eeport on
Commerce and Navigation (p. 833, vol. 2, year 1903).
EXPORTS FROM UNITED STATES TO PHILIPPINES FROM 1893 TO 1903.
Articles. 1893. 1894. 1895. 1896. 1897. 1898.
Agricultural Implements $135 $9,464 $1,592 $1,096 $2,262 $1,462
Animals:
Books, maps, engravings, etchings, etc 44 627 48
Breadstuffs 7,873 61 11/293 18.290 10,068 200
Cars, carriages, other vehicles and parts of.. 2,553 2,202 959 5,182 1,707 2,511
Chemicals, drugs, dyes and medicines 1,667 1,453 320 3,390 3,316 3,241
Clocks and watches and parts of 415 2,576 45
Coal 14,450
Cotton, mfg. of:
Cloths 2,413 40,684 900 2,527 1,940 1,304
All other 6,031 5,077 2,455 7,187 224
Fruits and nuts 16 29 156
Instruments, etc., for scientific purposes 3,500 4,007 120 676 3,054 2,744
Iron and steel, and mfg. of 9,006 16,388 13,343 10,204 9,036 7,431
Leather, mfg. ef 102 3,611 1,491 3,503 220 1,012
Malt liquors 863 245 1,415 663 337
Oils: mineral, refined 105,936 35,495 67,837 89,958 45,908 65,995
Paper and mfg. of T. 21 20 10 544
Provisions, comprising meat and dairy products 1,700 5,671 396 1,718 544 905
Spirits, distilled ,
Varnish 2,442 191 2,605 1,500 2,239 3,449
Vegetables 15 571
Wood and"mfg.'of..'.'.V.'...V.V..'.V.V.V.V.V.'.V.V. 826 520 277 262 343 406
All other articles 9,758 19,748 12,782 14,151 12,869 21,826
Total domestic exports 154,378 145,466 119,255 162,341 94,597 127,787
Total foreign exports 105 17
Total exports of merchandise 154,378 145,466 119,255 162,446 94,597 127,804
Articles. 1899. 1900. 1901. 1902. 1903.
Agricultural implements $60 $1,725 $3,128 $14,144 $9,203
Animals:
Horses 211,550 115,160 i
Mules 230,400 117,500
Books, maps, engravings, etchings, etc 4,499 18,770 44,160 140,574 64,901
Breadstuffs 12,599 168,726 570,376 435,444 278,891
Cars, carriages, other vehicles and parts of.... 1,649 54,117 180,696 101,213 77,904
Chemicals, drugs, dyes and medicines 13,748 48,955 38,147 77,224 60,366
Clocks and watches and parts of 2,615 19,014 12,659 53,557 9,459
Coal 100,978 142,633 144,995 210,374 137,617
Cotton, mfg. of:
Cloths 1,895 19 457 57,407 161,863 264,947
All other 3,232 lC287 19,907 84,782 51,623
Fruits and nuts 3,869 27,217 18,410 31,249 32,626
Hay 7,820 162,199 323,994 358,816 168,046
Instruments, etc., for scientific purposes 3,040 13,112 35,839 69,400 106,718
Iron and steel, and mfg. of 19,584 383,892 503,127 957,342 657,353
Leather, mfg. of 1,167 32,909 25,449 121,003 147,723
Malt liquors 91,817 563,950 762.176 466,404 310,495
Oils: mineral, refined 46 7,921 119.424 235,397 279,648
Paper and mfg. of 3,145 52,843 66,141 284,788 111,340
Provisions, comprising meat and dairy products 33,090 60,244 47,374 156,863 127,936
Spirits, distilled 40,930 156,252 316,024 185,188 124,875
Varnish 1,617 3,529 6,557 7,611 4,864
Vegetables 1,635 54,814 187,698 58,213 92,551
Wines 10,950 8,397 22,652 24,170 8,397
Wood and mfg. of 7,862 84,127 41,560 418,994 499,563
All other articles 32,411 98,584 233,620 611,398 410,834
Total domestic exports 401,258 2,635,624 4,014.180 5,251.867 4,028,677
Total foreign exports 2,935 4,825 12,844 6,603 10,232
Total exports of merchandise 404,193 2,640,449 4,027,024 5,258,470 4,038,809
The Philippines. 21 1
From the above it will be observed that the total exports of
the United States to the Philippines for the six years beginning
1893 and ending 1898, were as follows: For the years 1893 to
1898: 1893, $154,378; 1894, $154,466; 1895, $119,255; 1896,
$162,341; 1897, $94,597; 1898, $127,787, a total of $812,824.
Annual average, $133,470.
For the years 1899 to 1903, inclusive, the expenses were as fol-
lows: 1899, $401,258; 1900, $2,635,624; 1901, $4,014,180; 1902,
$5,251,867 ; 1903, $4,028,677, a total of $16,331,606. Annual aver-
age, $3,266,321.
Under the heading "Animals" appear horses, 1900, $211,550;
1901, $115,160; mules, 1900, $230,400; 1901, $117,500. That
these horses and mules were sent exclusively for the use of the
American troops is shown by the fact that from 1893 to 1899 none
were exported, nor were any exported in 1902 and 1903; in these
years the American army in the Philippines was being reduced.
Under the heading "Books, maps, engravings, etchings, etc.," the
aggregate shipments to the Philippine Islands from the United
States previous to 1899 did not exceed $719. In 1895, the first
year of any shipment, $44, in 1896, $627; in 1897, $48, whereas
in the five years of American occupation the shipments were as
follows: 1899, $4,499; 1900, $18,770; 1901, $44,160; 1902, $140,-
574, and 1903, $64,901; total for the five years, $272,904. The
export of this item fell from $140,574 in 1902 to $64,901 in 1903.
This falling off is due first to the fact that many of the English
text-books for the American schools in the Philippines were pur-
chased in 1902, and also to the fact that the American reading pub-
lic in the Philippines was greatly reduced by the return to the
United States of a large proportion of the army.
"Breadstuffs." In 1896 $18,290 of breadstuffs were exported.
This is the largest amount sent previous to 1899. For the year
1899, $12,599; 1900, $168,726; 1901, $570,376; 1902, $435,-
444; 1903, $278,891. In 1900 of the $168,726 for this item $126,-
563 represents 327,741 bushels of oats. Oats are not used as bread-
stuffs by the Filipinos, nor even by the Filipino horses, which are
fed on native grasses, but are the chief food of American horses and
mules. In other words, three-fourths of the so-called breadstuffs
shipped in 1900 consisted of oats for the use of the American army.
It will be observed that as the army was withdrawn the export
of breadstuffs to the Philippines decreased.
"Cars, carriages, other vehicles and parts of." The same observa-
tion applies, they declined from $180,696 in 1901 to $77,901 in
1903.
Even chemicals, drugs, dyes, etc., show a decline from $77,224
in 1902, to $60,366 in 1903.
"Cotton, manufactures of" show an increase.
"Fruits, nuts, etc." (presumably preserves or canned goods) show
a decline of 1902, $358,816 to $168,046 in 1903.
212 The Philippines.
"Iron and steel, manufactures of," show a decline from $957,34$
in 1902, to $657,353 in 1903. At this rate of decline we would soon
be selling the Philippines even less than the insignificant amount
we sold previous to our occupation. Doubtless this last item is ac-
counted for by the purchases of the Philippine government for in-
ternal improvements, and in no sense represents bona fide purchaser
by the producing classes of the Philippines.
Malt liquor, including beer, ale, etc., present one of the most in-
teresting items in the whole table and demonstrate, by their very
small consumption for the years 1893 to 1898, inclusive, during
which time only $3,523 worth were exported, that the Filipinos are
not large consumers of malt liquors, while the exports for 1899 to
1903, successively, $91,817, $563,950, $762,176, $466,404 and
$310,495, make a total for five years of $2,194,842 or 623 times as
much as in the previous six years. These figures if scrutinized will
show that as the American army was withdrawn the sale of malt
liquors decreased.
"Oils, mineral and refined." This is accounted for principally by
the exports of the Standard Oil Company which have increased
throughout the East generally in very much greater ratio than in
the Philippines.
"Paper, manufacture of," has fallen from $284,788 in 1902 to
$111,340 in 1903.
Provisions, comprising meat and dairy products, show a decline
of $30,000 from 1902 to 1903.
Spirits, distilled. No exports previous to 1899. For the years
1899 to 1903, inclusive, the successive years are as follows: 1899,
$40,930; 1900, $156,252; 1901, $316,024; 1902, $185,188; 1903,
$124,875, making a total of $823,269, showing conclusively that
this item was entirely for American use. As the American troops
were withdrawn the exports of distilled spirits declined.
The next two items, "Woods, manufactures of" and "All other
articles" are too indefinite to permit of analysis. While the first
item shows an increase of about $71,000 from 1902 to 1903, the
next item shows a decline of $200,000.
The total exports' from the United States in 1902 were $5,251,-
876. The total exports from the United States in 1903 were $4,-
028,677, showing a decline of $1,223,190.
Beyond all question the increased exports have been almost wholly
due to the presence of the American army. The withdrawal of
that army has in nearly every instance been followed by decrease of
expo^s.
As a commercial proposition it is not good business to maintain a
large army in the Philippines in order to make a foreign market.
These Americans if at home would probably have the same tastes,
and while perhaps in our temperate climate their consumption of
malt liquors and distilled spirits might be less than in the tropics,
they would be able to earn more money with which to indulge those
tastes.
The Philippines. 213
DEDUCTION.
<Cost to the United States to June 30, 1903. .. . $602,418,000.00
(this being a most conservative estimate and
omitting charges of Navy Department, except
for patrol service and other items appearing
on p. 207.)
Average interest at 3% for two and one-half
years on above 45,181,350.00
$647,599,350.00
Assume 25% profit to persons supplying exports
of United States to Philippines for same five
years, $16,3331,606 = 4,082,901.50
Net cost to American people $643,517,448.50
Exports of Philippines to United States are not
included because in no possible sense dependent
upon our retention of these Islands.
THE PANAMA AFFAIR.
One of the chief claims of the Republican party in its national
platform is that all- credit for the great work of connecting the
Pacific and Atlantic by a canal, which is at last begun, is due en-
tirely to itself. This claim is not just; neither were the meth-
ods proper, by which the possession of the route for the canal was
accomplished.
To make clear the position of the Democratic party on these
points, it is necessary to recount the facts of the case.
The "act to authorize the construction of a canal connecting the
waters of the Atlantic and Pacific oceans," approved June 28, 1902,
authorized the President to obtain "by treaty," — and in no other
way, — control of such territory "from Colombia," as might be nec-
essary for that purpose ; and it provided also that if he should be
unable to do so "within a reasonable time" and upon "reasonable
terms," he should then proceed to acquire the necessary territory
from Costa Eica and Nicaragua. This act, known as the Spooner
Act, also appropriated ten million dollars to be used by the Presi-
dent "toward the project contemplated by either route." It also
authorized him "to pay for the property of the New Panama Canal
Company forty million dollars," when he "shall have obtained by
treaty the necessary territory from Colombia." Of course it did
not in any way contemplate any arrangement with Panama direct,
but was founded on the probability that the treaty authorized by
it, and which was subsequently signed by Messrs. Herran and Hay,
and was ratified by the Senate on March 17, 1903, would be ratified
by Colombia. The Act did not authorize the President to employ
the navy of the United States to "prevent the landing of Colom-
bian troops within fifty miles of Panama," which he subsequently
did, or commit any other act hostile to Colombia. It did not autho-
rize him under any circumstances to wage war, but required him,
in case of failure to come to terms with Colombia, to secure another
route for the canal. The Constitution does not authorize the Presi-
dent to declare war, but limits the power to do so exclusively to
Congress. Nor does it authorize him to wage war, unless Congress
has declared war.
In October, 1903, Colombia, acting strictly within her rights,
rejected the Hay-Herran treaty. Then the first overt act in the
Panama revolution was performed by the Navy Department in
Washington, and not on the Isthmus — in the immediate interest of
the New Panama Canal Company.
On November 2, 190 S, the gunboat Nashville reached Colon, in
the Department of Panama, Colombia, having been ordered there
by this Government; arid on the same day an order was sent from
the Navy Department at Washington to the Nashville, the Boston,
and the Dixie, containing these instructions:
The Panama Affair. 2 1 5
"Prevent landing of any armed force with hostile intent . . .
at any point within fifty miles of Panama. Government forces
reported approaching the Isthmus in vessels. Prevent landing, if
in your judgment landing would precipitate conflict."
This meant war with the "Government forces" of Colombia, if
it meant anything.
At 3:40 p. m., the next day, November 3, 1903, the Assistant
Secretary of State cabled from Washington to the Consul-General
of the United States at Panama, which is less than "fifty miles"
from Colon, and on the opposite side of the Isthmus, as follows:
"Uprising on Isthmus reported. Keep Department promptly
and fully informed."
The Consul-General replied: "No uprising yet, reported there
will be to-night" ; showing that he had notice of the secret revolu-
tionary programme.
During that day the Colombian warship Cartagena arrived at
Colon, "within fifty miles of Panama," and Generals Tobal and
Amaya landed, and sought transportation for their troops to Pan-
ama city. This was denied by the officials of the Panama Railroad
Company ; but the two officers were allowed to go to Panama without
their troops. They were thrown into prison at Panama that evening.
This act of the revolutionists had manifestly been anticipated by
the Navy Department. The next step of the revolutionists was to
organize a junta and appoint a mulatto named Mollendes to be
Mayor of Colon, and thus to "precipitate conflict" with "Govern-
ment forces" at that point immediately.
Mollendes returned to Colon from Panama on the 4th; and on
the same day Commander Hubbard landed blue jackets from the
Nashville, and thus indirectly gave military support to the in-
surrection on Colombian soil.
On November 6, the Republic of Panama was recognized by the
President of the United States.
On the same day Monsieur Bunau Varilla, a. French citizen,
largely interested in the stock of the New Panama Canal Company,
was appointed by the Panama junta to be minister to the United
States; he being already in this country, as if in anticipation of
the President's action, and of a cordial reception by him as minis-
ter of Panama.
Bunau Varilla and Secretary Hay at once proceeded to prepare
a treaty. Immediately afterward the junta appointed Dr. Amador
and Mr. Boyd as commissioners to .negotiate a treaty with the
United States. These gentlemen arrived in Washington on the
18th. All they had to do here was to endorse the treaty which
had already been prepared by Bunau Varilla and Hay, and which
was signed on the 22d of January following. These later measures
were severely criticised by Senator Hoar, and by many of the
Democratic statesmen and publicists, because done in plain viola-
tion of the Spooner Act, and amounting to a usurpation by the
President of the war power vested exclusively in Congress — be-
cause, in fine, they were lawless measures, not to be condoned or
216 The Panama Affair.
approved except by those who hold to the opinion that the end
justifies the means.
These criticisms brought forth a special message to Congress
from the President, dated. January 4, 1904, in which he used
language implying that even prior to the rejection of the Hay-
Herran treaty by Colombia, he had already conceived a plan in-
volving either the independence of Panama, or its annexation to
the United States. In that message he said that it had been his
opinion that if the Hay-Herran treaty should be rejected, the peo-
ple of Panama "might declare their independence upon just
grounds, and- establish a government competent and willing to do
its share in this great work of civilization;" and that it had been
his intention to consult Congress, which, by the way, was not then
in session, "as to whether we would enter into an arrangement with
Panama direct, or take other steps needful, in order to begin the
enterprise."
But, on reflection, he evidently concluded it was unnecessary to
"consult Congress," and took all the "steps needful," before Con-
gress assembled.
That the end was desirable most Americans admit, yet the
Democrats insist that the means were unjustifiable; and the whole
controversy hinges upon the nature of the means employed, and not
upon the end.
The President's course in his dealings with Colombia and with
the Panama question furnishes a characteristic story of hasty and
unconstitutional action and usurpation of power. Whether it was
the duty of the Senate to accept the situation he had created as an
accomplished fact which it could not change, or to defeat the treaty
he had negotiated with the Government which he had practically
set up by force, or by the threat of force, may be a matter of ques-
tion, but there can be no doubt as to the character of the President's
conduct throughout.
Mr. Eoot is no longer a member of the President's official family
and may therefore now speak with more freedom than he could
exercise heretofore.
In a recent address before the graduating class of the Yale Law
School, he said:
"There is a constant tendency to ignore such limitations and con-
done the transgression of them by public officers, provided the thing
done is done with good motives from a desire to serve the public. Such a
process, if general, is most injurious. If continued long enough it re-
sults in an attitude of personal superiority on the part of great officers
which is inconsistent with our institutions, a destruction of responsibil-
ity and independent judgment on the part of lower officers, and a neg-
lect of the habit of asserting legal rignts on the part of the people.
"The more frequently men who hold great power in office are per-
mitted to override the limitations imposed by law upon their powers,
the more difficult it becomes to question anything they do; and the peo-
ple, each one weak in himself, and unable to cope with powerful officers
who regard any questioning of their acts as an affront, gradually lose
the habit of holding such officers accountable, and practically surrender
the right to hold them accountable."
The Panama Affair. 217
It would be interesting to have from Mr. %Root some definite
specification of this growing tendency to ignore the legal limita-
tions of official power and the tendency of the public to condone
such transgressions, when done with good intentions and to ac-
complish a desirable object. That it was a thinly veiled reference
to the President's action in the Panama affair especially may well
be suspected. No other administration has ever furnished so
many illustrations of the truth of Mr. Eoot's statement as that of
President Eoosevelt.
After the President had, in violation of the Constitution, secured
the separation of the province of Panama from the Republic of
Colombia, a studied effort was made by the friends of the admin-
istration to becloud the whole question by raising the cry that the
President's critics were opposing the canal, and that he had taken
the only course to secure its construction.
The President violated a fundamental principle of International
Law, which may be stated in the words of President McKinley:
"Recognition of Independent Statehood is not due to a revolted
province until all danger of its being subjected by the parent State
has passed away." We steadfastly adhered to that principle in
dealing with the revolted colonies of Spain. Andrew Jackson ad-
hered to it in the case of Texas and declared that the fact that we
had a selfish interest in the success of that seceding government
should make us all the more careful in observing the principles
of International Law. We adhered to it in the case of Cuba, both
Presidents Cleveland and McKinley refusing to recognize that Re-
public as independent until it had an established government and
had shown its ability to successfully defend it.
President Roosevelt recognized as the Government o'f a sovereign
State as large as the State of Indiana, a baker's dozen of conspira-
tors whose so-called rebellion was not even known to the people,
and before they had either an army, or a navy, or a treasury, or
had fought a single battle with the parent Government. Further,
he violated the Constitution of the United States, which gives to
Congress the exclusive right to declare war, or to begin war. The
President has no right to levy war against another country with
which we are at peace without express authority from Congress.
He sent warships to Panama, then an integral part of Colombia,
in expectation of an insurrectionary movement which had not then
occurred, and ordered their commanders to resist with force the
landing of Colombian troops sent there to prevent an insurrection.
An order to commit an act of war is itself a declaration of war.
After the insurrectionary movement began, Colombian troops
sent there to quell it were kept from landing by the superior mili-
tary forces of the United States.
Senator Foraker said they were sent there to "prevent war."
Secretary Hay says Colombian troops were excluded from her own
territory to "prevent civil war."
A state of war manifestly existed from the time the standard of
insurrection was raised. The action of this Government was to
2 i 8 The Panama Affair.
prevent the Republic of Colombia from using her own forces to
quell an insurrection on her own soil.
Senator Lodge said that the insurrection owed its success to this
action of the President. In no more vital particular could the
President violate the Constitution than by committing acts of war
without the consent of Congress.
The President justifies his action in this matter by the claim
that this Government had the exclusive right under the treaty of
1846 to protect the freedom of transit across the Isthmus, and
that it was in exercise of that treaty that he opposed Colombia's
national right to maintain her sovereignty over Panama.
Senator Carmack dealt with this argument in a speech in the
Senate, in which he said :
"The language of the treaty is that 'the government of New Gren-
ada (now Colombia) guarantees to the Government of the United
States that the right of way, etc., shall be open and free to the Got-
ernment and citizens of the United States.'
"This language speaks for itself, and on the very face of it im-
ports an engagement by Colombia to itself protect the freedom of
the transit. This treaty has been construed again and again by our
Presidents and Secretaries of State, and has been twice officially in-
terpreted by other treaties.
"In 1873 Secretary Fish said:
'This engagement, however, has never been acknowledged to embrace
the duty of protecting the road across it from the violence of local fac-
tions. Although such protection was of late efficiently given by the
force under the Command of Admiral Almy, it appears to have been
granted with the consent and at the instance of the local authorities.
It is, however, regarded as the undoubted duty of the Colombian Govern-
ment to protect the road against attacks from local insurgents. The
discharge of this duty will be insisted upon.'
"Secretary Bayard stated our interpretation of the treaty as
follows :
'On several occasions the Government of the United States, at the
instance and always with the assent of Colombia, has, in times of civil
tumult, sent its armed forces to the Isthmus of Panama to preserve
American citizens and property along the transit from injuries which
the Government of Colombia might at the time be unable to prevent.
3ut, in taking such steps, this Government has always recognized the
sovereignty and obligation of Colombia in the premises, and' has never
acknowledged, but, on the contrary, has expressly disclaimed, the duty
of protecting the transit against domestic disturbance.'
"In the treaty of 1857, which was for the adjustment of claims
for loss suffered by American citizens through the failure of the
Colombian authorities to properly protect the transit, the follow-
ing language is used:
'All claims of • * * citizens of the United States upon the Gov-
ernment of New Grenada, * * * and especially those for damages
which were caused by the riot at Panama on the 15th of April, 1856,
for which the said Government of New Grenada acknowledges its liability
arising out of its privilege and obligation to preserve peace and order
along the transit route,' etc.
"Colombia has the 'privilege and obligation to preserve peace and
The Panama Affair. 219
order along the transit route.' We compelled her in the treaty of
1857 to expressly acknowledge it and pay damages.
"Mr. President, this Administration has itself authoritatively in-
terpreted the treaty of 1846 in a dispatch sent by Secretary Hay
to Consul Ehrman after the recognition of the new state of Panama.
I have once before read this dispatch, but I will read it again:
IVhen you are satisfied that a de facto government, republican in
form, and without substantial opposition from its own people, has been
established in the state of Panama, you will enter into relations with
it as the responsible government of the territory and look to it for all
due action to protect the persons and property of citizens of the United
States and to keep open the isthmian transit in accordance with the
obligations of existing treaties governing the relation of the United
States to that territory.'
"In other words, Panama inherited the rights and obligations of
Colombia under the treaty of 1846, and under that treaty was
herself required to defend the freedom of the transit. Panama
could not inherit from Colombia any treaty right or obligation
which Colombia herself did not possess. If there was likely to be a
local disturbance which might interfere with the freedom of the
transit, did not Colombia have a right to bring her troops there
under the very terms of the treaty of 1846 as we ourselves have in-
terpreted it, as this Administration itself has interpreted it?
"So the only effect of this defense is to show that the President in
violating the Constitution has also violated the treaty of 1846, just
as he violated the Spooner Act, as already shown."
Senator McLaurin, of Mississippi, thus characterized President
Roosevelt's acts of usurpation :
"The Senator from Wisconsin," said he, "demands to know
wherein the President is unsafe. Personally I do not criticise the
President, but as a President, I think it is hardly necessary to
point out to a reading public wherein he is unsafe. He entered
into the domain of a Republic with which we were at peace, and re-
fused to permit it to exercise sovereignty over its own territory.
He took as a pretext a treaty that we made in 1846 with that coun-
try, wherein the United States guaranteed to defend the sover-
eignty of that Government and to keep open the channels of com-
merce between the two oceans.
"Does any man in his senses believe that it was the intention
of the Government of New Grenada, when that treaty was made,
that the Government of the United States should exclude the
Government of New Grenada from its own territory or from the
exercise of sovereignty over its own territory? Treaties are to be
construed, like any other contracts, by the intention of the con-
tracting parties.
"Nobody believes that such was the intention, either of the
United States or of New Grenada, of which Colombia is the suc-
cessor; and all this for the purpose of protecting what was al-
leged to be the rights of a French corporation composed exclu-
sively of citizens of France. If not done for the purpose of pro-
tecting the alleged rights of the Panama Canal Company, why
220 The Panama Affair.
does the President say that the 'plan was fitly to end in further
injury to the citizens of a friendly nation, whose enormous losses
in their generous efforts to pierce the Isthmus have become a
matter of history' ?
"If that is not its meaning, what is its significance? And can
it be supposed that the President sent to Congress a message in an
important matter like this, if in any matter, containing idle and
meaningless language? It will not, with any degree of reason,
be contended that Great Britian, Germany, Russia, France, Aus-
tria, or Italy would have submitted to the treatment to which
Colombia was subjected, without war.
"If that is so, and the President were to take it into his head to
override one of these great powers, as he did Colombia, we would
at once be involved in war. Is not such a man unsafe? But it
may be answered that there is no danger of his undertaking such
a thing with one of the great powers of the world. Then, would
you make our nation stand in the attitude of a swaggering bully,
dominating and domineering small countries, and standing in awe
and dread of great powers ?"
Senator Gorman used the following language in a speech in the
Senate:
"We virtually seized, by military power, a part of the territory of
Colombia. That is usurpation. No head of an autocratic govern-
ment ever was guilty of a more audacious act. Newspaper critics
draw a parallel between our President and Napoleon. Has it come
to this, Mr. President, that we have a Napoleon, not only conduct-
ing the Executive branch of the Government, which he is charged
to do under his oath within the restrictions of the Constitution, but
also taking action amounting to a declaration of war, which the
Constitution says Congress alone has the power to declare, and then
omitting to give Congress all the facts but sifting out information
through a Deputy Secretary of State at a banquet in New York?"
AN INTERNATIONAL LAWYER'S OPINION.
Mr. William Morton Grinnell, an international lawyer of promi-
nence, who was Third Assistant Secretary of State under Presi-
dent Harrison, expressed, through the daily press, this opinion of
President's Roosevelt's action in the Panama affair:
"His conduct with regard to the Panama Canal is ridiculous.
It is more absurd than illegal, for it amounted to an enunciation of
the doctrine of eminent domain applied to a foreign State. The
whole affair was a violation of international law, and it is needless
to say that nothing of the kind would have taken place had the
country concerned been England, France, or Germany instead of
Panama. The action of the President with regard to Panama was
nothing more or less than giving sanction to, or at least conniving
at, the dismemberment of a republic which was in a sense the ward
of the nation. As a result, those South American countries which
formerly looked to us for help and protection have grown to hate
the Monroe doctrine."
THE POSTAL FRAUDS.
The chief features of the scandals and proven frauds in the
Post-office Department are :
The extraordinary extent of the frauds and the number of persons
involved.
That the higher officials knew of the frauds and scandals years
before they were investigated.
That while it is probable, if not certain, that other gross frauds
and scandals exist, a Republican 'Congress in both branches has
voted against investigation.
That President Roosevelt was either kept in ignorance of the frauds
until January, 1903, or did not care to expose their astounding
character until public notoriety compelled action to be taken.
Ewry revelation made of the blackmail and venality of the Post-
office Department has been dragged out in spite of the Administra-
tion, which undertook the investigation only when the scandal had
become so public it could no longer be smothered.
Every spot the probe has touched has developed corruption — con-
tracts let in Washington, promotions made in New York, fraud
orders withheld in the West, padded payrolls, swollen bills, charges
for work never performed, blackmail of illegal enterprises, black-
mail of employees, double salaries for favorites — there is no end to
the list; and only the surface has been scratched, presumably.
Only minor officials have so far been exposed.
Is it possible there are men higher in the postal service who fear
the. exposure of illegal contracts, and rake-offs, and graft? Is that
why the Eepublicans opposed Congressional action? And is there
still hope that the public may be quieted by the sacrifice of the
Beavers, the Machens, and the Groffs ?
The Forty-per-cent Ring ramifies far and wide.
The aggregate of the product of blackmail and theft has amounted
to millions of dollars a year.
If it is ever to be known whose pockets were lined with these
"graft*' proceeds it will be through the election of a Democratic
majority in the next Congress, and a consequent thorough and
searching investigation.
No political party has ever made a thorough investigation of
the misdoings of its own partisans, and the Roosevelt Administra-
tion is no exception to the rule.
The partial investigation, however, of the Post-office Department,
with its astonishing disclosures of a comprehensive system of loot-
ing the United States Treasury, is but one of many scandals in
which the present Administration has been involved. Yet only one
section of the Post-office Department, and a section of the Depart-
ment of Justice — the office of the First Assistant Postmaster-Gen-
eral and the office of the Assistant Attorney-General for the Post-
office Department — have been probed, and the disgraceful evidence
222 , The Postal Frauds.
laid before Congress and the people. If other divisions have been
scrutinized and frauds found to permeate them, the result has not
been officially published, although the public press has given rumors
and some evidence that other sections of the department have been
under investigation. It is reasonable to suppose that if no irregu-
larities had been discovered such a happy result would have been
heralded to the public by all the methods known to the Administra-
tion. On the other hand, the arrival of the national campaign
would be a strong incentive to hide all scandals until after election,
and that seems to be the course that has been pursued.
The extent of the frauds, as far as investigated, is shown in the
official report of Mr. Bristow, an abstract of which is incorporated
in this article.
The number of persons indicted is thirty-one, of whom twelve
have been tried; seven of these have been convicted and five ac-
quitted. Since the Administration was signally defeated by the
acquittal of Tyner and Barrett, there has been a lull in the activity
of the Department of Justice, which shows little intention of push-
ing prosecutions against the grafters. There is no doubt that there
is ample evidence to convict Beavers. Machen, who was convicted,
has appealed; he is out on bail, and threatens exposures that will
drag down the pillars of the Republican temple and involve
''higher officials," if the case against him is pushed by the Adminis-
tration.
SUPPRESSING INVESTIGATION.
That most of the frauds were known to exist nearly four years
before any steps were taken to stop the looting is an awkward charge
facing the Administration. The first specific charges of fraud and
rottenness in the Post-office Department were made in 1899 by Mr.
Seymour W. Tulloch, for many years cashier of the Washington
City Post-office. The names of competent witnesses were given, and
Postmaster-General Charles Emory Smith was challenged to make
an investigation. These charges were treated by him as frivolous,
and no steps were taken to stop the frauds or to remove or punish
the officials involved. On May 26, 1900, there was also published
in the Washington Post an article relating to the Tulloch charges.
These charges have since been more than substantiated by evidence
produced, and by the legal opinion of Messrs. Conrad and Bona-
parte on their investigation of the Tulloch charges; yet the higher
officials involved have been allowed to escape punishment, either by
the operation of the time limit of the statute of limitations, or by
the favor of those high in Eepublican councils. Thomas W. Gilmer,
an expert from the office of the Comptroller of the Treasury, while
investigating the accounts of one of the principal bureaus in 1899,
was called off and transferred to another department and his salary
reduced for being too zealous. The Post-office inspectors who made
confidential reports of the rotten conditions that prevailed were in-
formed that if they presumed too much they would be removed.
Mr. Bristow demanded a thorough investigation of the office of
The Postal Frauds. 223
First Assistant Postmaster-General Perry S. Heath. That was re-
fused by Postmaster-General Smith, who by this means allowed the
statute of limitations to run in Heath's favor.
Postmaster-General Payne, although officially notified by Mr.
Bristow and by the reports of his inspectors of the degradation into
which his department had sunk, persistently declared, even when
the Bristow investigation had for some time been under way, that
there was nothing in the charges. He designated the charges to the
newspaper men who called on him for information as "hot air," and
told them to "just say that when the Postmaster-General was asked
about them the Postmaster- General laughed." And yet President
Roosevelt congratulated Mr. Payne upon his zeal and energy in aid-
ing in the convicting of some of the lesser thieves and continues
him as Postmaster-General, though, as is well known, he had thrown
every obstacle in the way of the investigation.
Perry Heath was the secretary of the Republican National Com-
mittee, and hence, to accuse him of grafting would damage the
Republican party. Thus matters were allowed to rest for over three
years; but the charges were so persistently made that at last the
Administration was compelled to act, and the investigation under
Mr. Bristow was ordered.
Mr. Tulloch, who was fully acquainted with the ramifications of
the rottenness in the department, in a statement of the conditions
that prevailed, published in the Washington Star, May 1, 1903 —
good Republican authority — said : "I doubt, however, if any one,
e^ven those making the investigation, will ever ascertain or realize
all the ramifications of a certain coterie of officials, past and pres-
ent, together with their political backers and participating friends.
Very few "good things" have lasted longer, been enjoyed with
greater effrontery, or been so 'protected by those high in authority
and influence."
The Bristow investigation of the rottenness thus described, sub-
stantiated all that Tulloch had said as far as the investigation
went, and the Bristow report gives a summary of the evidence.
DEMOCRATS DEMAND INVESTIGATION.
Public opinion was so impressed with the rumors and evidence
of other scandals that the Democrats of both Houses of Congress
demanded a Congressional investigation of the whole Post-office
Department, but the Republican leaders, who probably had intima-
tions of the real condition of affairs, refused to allow the passage of
the resolutions introduced by the Democrats, and in this they were
supported by the practically unanimous vote of the Republican ma-
jority in Congress. The text of the resolutions for investigating,
and the yea and nay votes thereon, in detail, will be found in this
book.
THE PRESIDENT'S ATTITUDE.
The Republicans claim great credit for exposing the rottenness
in the office of the First Assistant Postmaster-General and of the
Assistant Attorney-General, but the long delay that. occurred before
224 The Postal Frauds.
the investigation was ordered makes it clear that persons high in
authority were intent on suppressing all evidence of the true state
of affairs, and that it was only determined upon after evidence of
misdoings had been published again and again, and finally forced on
President Roosevelt' s attention by influential journals.
The evidence that either President Roosevelt ignored the charges
that frauds and scandals existed, which were commonly talked of,
and had been published in the newspapers, or that this information
had been kept from him, will be seen below from his memorandum
upon the Bristow report, forwarded with that report and various
papers to the Postmaster-General, and directing that they be "held
ready for submission to Congress whenever it may choose to ask for
them." In that memorandum President Roosevelt says :
"It appears that in December, 1902, Postmaster-General Payne and
Congressman K. F. Loud, chairman of the Committee on the Post-office and
Post-roads, held various consultations regarding the postal service, and
as a result of these interviews it loos determined that, as soon as possible
after the necessary appropriations could be made by the Congress, an in-
vestigation should be made of the service; both Messrs. Payne and Loud
agreeing as to the need for the investigation and the time when it should
take place."
President Roosevelt here leaves the impression that he was not
informed at that time of any irregularities, and he evidently in-
tended to emphasize this impression, for he further says :
"Subsequently, some time in January, (1903), information was laid be-
fore me by Mr. Seckendorff, tending to show improper conduct by Beavers,
general superintendent of the Division of Salaries and Allowances, and
Machen, General Superintendent of the Free-delivery System; and by Mr.
William Allen White, tending to show corruption by or under Tyner, As-
sistant Attorney-General for the Post-office Department. First Assistant
Postmaster-General Wynne also informed me, that he had become sus-
picious of the integrity of both Beavers and Machen. After full consulta-
tion with Mr. Payne, it was decided that Fourth Assistant Postmaster-Gen-
eral Bristow should make a thorough and exhaustive investigation of the
charges in question, and of all matters that might be developed in connec-
tion with them."
Did President Roosevelt know of the frauds before Mr. Secken-
dorff and Mr. White informed him "some time in January," 1903?
or was he purposely kept in the dark by Mr. Payne, Mr. Loud, and
Congressman Bromwell, who, he says, were the only persons that
knew the reasons for the appropriation, in December, 1902 ? If the
three persons above-named kept such a serious matter from the
President, is it not extraordinary that he should retain confidence
in Postmaster-General Payne, and "after full consultation" with
him, agree upon the Bristow investigation, and later congratu-
late him upon the conviction of some of those indicted ?
THE CONRAD-BONAPARTE REPORT. . .»
On June 24, 1903, Messrs. Holmes Conrad and Charles J. Bona-
parte were appointed special ass:stants to the Attorney-General to
prosecute those involved in the Post-office frauds. On July 17 they
were instructed "to take up at once the Tulloch charges" and report
thereon, "from a legal standpoint." Their report is an exhaustive
The Postal Frauds. 225
one, and is published with the report of the Postmaster-General
on the post-office investigation.
The report recites the history and nature of the Tulloch charges,
beginning September, 1898, with the matter of the frauds in the
Washington post-office, and the investigation by Thomas W. Gilmer,
then an expert accountant in the Comptroller's office, which im-
plicated Heath and others. The report then says :
"On July 3, 1899, Mr. Tulloch called on Postmaster-General Charles
Emory Smith, and presented to him a letter from Senator W. E. Chandler,
and then made to him an oral statement as to certain irregularities alleged
to have previously existed or to then exist in the Post-office Department
and Washington City post-office. No contemporaneous written memoran-
dum of this statement appears to have been made.
"On July 6, 1899, Inspector-in-Charge William B. Smith filed a 'confiden-
tial report' to Chief Inspector W. E. Cochran, 'which/ as he says, 'sets
forth certain irregularities, discovered by me, which in my judgment, in-
dicate a condition of affairs demanding an immediate, thorough and ex-
haustive investigation.' This report was submitted by Fourth Assistant
Postmaster-General Bristow personally to the Postmaster-General, and he
also caused to be prepared in his office an abstract of Inspector Smith's
report for the latter's use. Marginal notes in pencil are found on the orig-
inal of this document, which are in the handwriting of George W. Beavers,
then Chief of the Salaries and Allowances Division.
"There is on file 'a memorandum' to Postmaster-General Smith in ex-
planation of irregularities set forth in brief of confidential report of In-
spector-in-Charge Smith, made a few days after the report was filed, July
■6, 1899, at the request of Postmaster-General Smith. This 'memorandum'
contains evident references to the pencil notes on the 'abstract' in the
handwriting of George W. Beavers; and it is supposed at the Department
that Postmaster-General Smith referred the 'abstract' to Messrs. Heath and
Beavers, and received from them this 'memorandum' in explanation. The
papers on file render this probable; but, in any event, no action whatever
beyond this reference appears to have been taken by the Post-office Depart-
ment on the report made by Inspector-in-Charge Smith or the statement of
Mr. Tulloch."
Thus it is seen that on July 3, 1S99, the Postmaster- General had
the frauds officially brought to his attention, but took no action
except to refer the evidence of frauds to Heath and Beavers. Again,
the report says:
"On May 26, 1900, there had been published in the Washington Post an
article which Mr. Tulloch says was based on 'information obtained inde-
pendently,' but seems to have related to some of the same matters to which
he had called attention, and appears to have been regarded in the Depart-
ment as inspired by him. He says of this publication:
" 'Detailed charges at length were made, the names of competent wit-
nesses were given, and Postmaster-General Charles Emory Smith was chal-
lenged to make an investigation. These charges were treated as frivolous
and civilly dismissed by the officials involved. They remain, however, un-
answered to this day, and may yet furnish matter for a truly zealous in-
vestigation.'
"Whether these statements are strictly accurate it is hardly within our
province to consider, but certainly no investigation, 'truly zealous* or
otherwise, is shown by the documents submitted to us to have been made
into the subject-matter of the above-mentioned publication. On September
18, 1899, Mr. Thomas W. Gilmer, the expert accountant heretofore men-
tioned, was instructed by the Comptroller not to take up for revision any
more accounts of the Washington or any of the New York post-offices ; and
soon afterwards he was detailed for four months to another division of the
226 The Postal Frauds.
Treasury Department; subsequently his new assignment was made perma-
nent; it involved a reduction in salary of $200 per annum
"On May 1, 1903, there was published in the Washington Post an inter-
view with Mr. Tulloch, in which the latter referred to very grave irregu-
larities and abuses as existing in the Department, and even more notably in
the Washington post-office prior to his own removal, three years and ten
months previously, and intimated a belief that they had continued subse-
quently, but gave no facts, and, indeed, professed no knowledge as to later
transactions."
The publication of these facts stirred somebody to action, for the
report says that during May, 1903, Postmaster-General Payne wrote
to ex-Postmaster-General Smith, ex- Attorney- General Griggs, R.
J. Tracewell, Comptroller of the Treasury; F. A. Vanderlip, late
Assistant Secretary of the Treasury ; Perry Heath, late First Assist-
ant Postmaster-General, and others, requesting explanations of the
charges made by Tulloch. All of these high Republican officials
failed completely to meet the accusations.
PERRY HEATH'S ANSWER.
In the case of Perry Heath the report says :
"At least a strong prima facie case is presented of wilful and reckless
disregard by the late First Assistant Postmaster-General of obligations
imposed upon him by the regulations of his own Department, as well as by
the statutes of the United States ; and we feel it our duty to add that sus-
picion of his personal integrity must be inevitably aroused in our judg-
ment by an impartial consideration of the facts submitted to us and of his
plainly inadequate explanations."
THE GILMER CASE.
The one honest man developed by the investigation was Mr.
Thomas W. Gilmer, expert accountant of the Comptroller's office.
His honesty was sufficient cause for all the chief officials above men-
tioned to plot his undoing. The report says :
"In our opinion the treatment of Mr. Gilmer constitutes one of the
most serious and significant features of the situation developed."
Mr. Gilmer was engaged in uncovering the grafting, and was,
therefore, reported by those high officials as "impolite and offensive
to other government officials in the discharge of his duites as an ex-
pert accountant/' "Charges of this nature," Comptroller Tracewell
says in a letter dated May 2, 1903, "were made to me by the Attor-
ney-General and First Assistant Postmaster-General." The same
complaints were made to Vanderlip, who was the political power in
the Treasury Department under Secretary Gage, and Gilmer was
in consequence detailed to another bureau, where he could not in-
terfere with the grafters, and was told that "it would be best to
make a written application for a permanent transfer." The report
says:
"While Mr. Heath and Mr. Vanderlip found in the rudeness, offensive
manner, and discourteous conduct of Mr. Gilmer, grounds which induced
the one to complain and the other to act upon such complaint by removing
Mr. Gilmer from his position, it will be observed that neither Mr. Griggs
nor Mr. Castle assign any such grounds for their complaints, and Mr.
Tracewell himself has attested that 'Mr. Gilmer was a most competent,
• The Postal Frauds. 227
painstaking and industrious clerk. In my office he displayed none of the
traits of character of which these complaints were made,' and again, he
says: 'His conduct in my office had always been exemplary.'
"It cannot be overlooked that no such complaints as those made by Mr.
Heath and Mr. Vanderlip had ever been made by anyone of Mr. Gilmer
prior to his revision of the Postmaster's account in April, 1899; and no
individual is referred to by name who had personally experienced the of-
fensive conduct here complained of.
"We have reached the conclusion and report it as our belief that it
was not the manner of Mr. Gilmer, but the unsparing thoroughness with
which he discharged his duty in the revision of the accounts of the Washing-
ton post-office that led to his punishment, and more especially to his with-
drawal from such work."
Mr. Tulloch, who made the first formal charge that frauds were
being perpetrated, was dismissed from the office he had held foi; so
many years, at the evident dictation of Perry Heath.
SUMMARY AND CONCLUSIONS.
Messrs. Conrad and Bonaparte arrive at the following summary
and conclusions on the Tulloch charges :
"As a result of the 'Tulloch Charges,' and of the considerations hereia~
before set forth, we have the honor to report that, in our judgment:
"First. The discussion of the 'Tulloch charges' has revealed the ex-
istence of deplorable and gravely discreditable abuses during the years5*
1898, and 1900 in the Washington post-office and the office of the First As-
sistant Postmaster-General.
"Second. These abuses involved conduct on the part of various public-
officials which was certainly often illegal, and may have been sometimes
criminal ; but such offences, if committed, were in all cases committed more-
than three years before we were ordered to investigate the 'charges' and,,
so far as we are clearly informed, more than three years before Mr. Tul~
loch's interview of May 1 last.
"Third.- The evidence laid before us suggests the possibility and evert
probability, but does not prove that abuses may have continued both in
the Department and in the Post-office subsequently to the early Summer
of 1900, when we lose sight of them, and that in connection therewith
criminal acts may have been committed within the period of limitations.
"Fourth. The report of Inspector Crowell and the facts relating to the
claim of George W. Beavers, above set forth, indicate the possibility that
similar conditions may have existed both within and beyond the period
of limitations in the New York post-office.
"Fifth. The persons primarily responsible for the above mentioned abuses
and the resulting scandals appear to have been Perry S. Heath, then First
Assistant Postmaster-General, and George W. Beavers, then chief of the
salaries and allowance division, neither of whom is now in the service
of the United States.
"Sixth. Charles Emory Smith, late Postmaster-General; James P. Wil-
lett, late postmaster of Washington, now deceased ; John A. Merritt, his
successor in the said post-office and its present incumbent ; Robert J. Trace-
well, Comptroller, and Henry A. Castle, Auditor for the Post-office De-
partment, all appear to have shared, in some measure, their responsibilities;
the late Postmaster-General for his seeming failure, notwithstanding re-
peated warnings, to appreciate the gravity of their misconduct and the
consequent necessity for its prompt and adequate punishment; the two
postmasters for toleration of these abuses and obedience to plainly im-
proper orders without exposure, or, apparently, protest, and the Auditor
and Comptroller for acting upon lax and arbitrary principles in the ad-
ministration of their respective offices, whereby the payment of illegal and
seemingly fraudulent claims by the Treasury was rendered possible.
"Seventh. The employment of subordinates in post-offices about to be-
228 The Postal Frauds.
come classified for the purpose of thus securing their admission without
examination into the classified service was a practice in fraudulent legis,
and officials guilty of it thereby established their own unfitness for public
employment.
"Eighth. The employment of so-called 'laborers' to do 'classified* work
was clearly illegal and, under the express directions of the civil-service
rules, to be punished by dismissal from office.
"Ninth. An agreement by any public officer with any person, whether
in or out of the public service at the time, that the latter shall receive
the emoluments of public employment to the Government, constitutes a
conspiracy to defraud the United States and, if followed by any overt
act, tending to its accomplishment by any of the parties, renders all of
them responsible under the terms of the United States Revised Statutes,
section 5440.
"Tenth. The detail of Thomas W. Gilmer to different work of a lower
grade and at a reduced compensation by F. A. Vanderlip, then Acting
Secretary of the Treasury, under all the circumstances attending it, was
apparently unjust and oppressive, and certainly disastrous to the public
interest, since it would be generally and naturally understood by those
cognizant of it as a punishment inflicted on a faithful public servant who
had, by the honest discharge of his duty incurred the enmity of active
and influential politicians. It seems to have been preceded by no suf-
ficient inquiry oa the part of Acting Secretary Vanderlip, and would
render proper an investigation of the latter's conduct were he still in the
public service.
"Eleventh. While we express no opinion as to the propriety of Seymour
W. Tulloch's removal from the office of cashier by Postmaster Merritt, the
precipitancy and discourtesy shown by the latter in effecting this removal
seem to have been without justification and tend to cast grave doubt upon
the good faith of his explanation of the removal."
The full Conrad and Bonaparte report from which the above
summary is taken, was published with the report of the Postmaster-
General in the matter of the investigation of the Post-office Depart-
ment dated December 15, 1903.
The John A. Merritt, mentioned in the sixth paragraph above,
has been reappointed Postmaster at Washington by President Eoose-
velt since the Conrad-Bonaparte report was published.
EXTRACTS FROM REPORT OF FOURTH ASSISTANT
POSTMASTER-GENERAL J. L. BR1STOW ON
THE POSTAL INVESTIGATION.
SUPPLY DIVISION.
On April 17, 1897, Michael W. Louis, of Cincinnati, was ap-
pointed cashier in the Kansas City, Mo., post-office, and was detailed
to the department as acting superintendent of the supply division.
The Civil Service Commission was asked to except the position from
the classified service. This the Commission declined; but in July
following it did give a special examination, allowing Louis a rating
of 50 points for experience acquired during the three months he
had been in charge of the division. As a result of this rating
Louis passed a successful examination and was appointed
The Postal Frauds. 229
Contract for Canceling Ink. — Shortly after Louis was placed in
charge of post-office supplies the contract for canceling ink was
awarded to Ault & Wiborg Company, of Cincinnati, Ohio, at 24
cents per pound, 4 cents higher than other bids. Much of the ink
furnished by the new contractors was of inferior quality, but instead
of being returned to the company it was paid for and burned or
thrown away on the city dump. During the fiscal year 51,000
pounds of canceling ink were bought from the Ault & Wiborg
Company, costing $14,387.52, while during the previous year but
20,000 pounds had been used, at a cost of $4,302.65.
For the fiscal year 1898-99 no contract was awarded for cancel-
ing ink, and from March, 1899, until the beginning of the fiscal
year 1902-3, Louis bought canceling ink from the Ault & Wiborg
Company at 30 cents per pound, 6 cents higher than the last com-
petitive bid, 10 cents higher than was paid before Louis became
superintendent, and from 4 to 9 cents higher than present cost.
Inking Pads. — For the fiscal year beginning July 1, 1898, upon
false statements of Louis the contract for inking pads was awarded
to W. C. Long, at 15 cents each, in preference to 14-cent pads offered
by Herman Baumgarten. Long was not a manufacturer, so be
bought an inferior pad from Baumgarten at 12 J cents each. Long
received a net "rake off" of $1,625 on the year's business.
For the fiscal year 1900-1901, M. D. Helm had the contract for
twine at $10.95 per hundred pounds; for the following fiscal year
the price dropped to $7.45. During the closing months of the year
1901 when the price Of twine was $10.95, and after the contract
had been given for the succeeding year at $7.45, Louis bought large
quantities of twine at $10.95, which was carried over into the next
fiscal year.
PURCHASE OF MANIFOLD BOOKS.
On June 1, 1902, Louis Kempner became superintendent of the
registry system, and under his administration books made by the
General Manifold Company have been used in a lavish manner.
The original proposition was to furnish a book containing 500 re-
ceipts for 22 J cents each. This book, however, was never used, kit
in its stead a book containing 1,000 receipts, which cost $1.10.
Prior to Kempner' s appointment as superintendent of the registry
system, manifold books were not furnished to offices where less than
2,000 pieces of registered mail were handled per annum. Kempner
disregarded this rule and sent these expensive manifold books to
third and fourth class offices. The books are made of material re-
quiring careful handling, yet they have been sent to hundreds of
offices throughout the country that are kept in small country stores
and farmhouses where not more than 25 pieces of mail are registered!
in a year.
The result has been that the cost of manifold supplies for the
fiscal year 1902-3 was $84,768.85, as against $41,499.24 for the
fiscal year 1901, when supplied by the Public Printer, an increase
of $43,269.61. After the books were once adopted for general use the
company advanced* the prices.
230 The Postal Frauds.
MONEY-ORDER SYSTEM.
For supplying the money-order forms for four years from Sep-
tember 4, 1903, the bid of Paul Herman was $44,948 less than that
of the Wynkoop Hallenbeck Crawford Company. James T. Met-
calf, Superintendent of the Money Order System, asked Herman to
withdraw his bid so that the Hallenbeck Company, where his son
was employed, would get the contract. He assured Herman that if
he did so he would have him reinstated in the position he formerly
held with that company. Metcalf knew that such withdrawal would
cost the Department about $45,000.
Mailing Books. — In 1899, upon Metcalf s recommendation, the
Wynkoop Hallenbeck Crawford Company was given the contract to
ship the money-order books to postmasters, for which it was to re-
ceive 3£ cents per book. Afterwards, upon Metcalf's recommenda-
tion, the price was increased to 4-J cents.
It was further discovered by the investigation that Metcalf's
son, who is employed by the company, was receiving 1 1-6 cents per
book for all of the books shipped by the company under this arrange-
ment. From December, 1899, to May, 1903, he was paid $9,547.17
in addition to his legitimate salary.
Inferior Paper Used. — The investigation shows that inferior
paper was being used in the printing of the forms, and that Met-
calf knew this fact, but made no effort to require the company to
adhere to the specifications in respect to paper.
Metcalf made other unjustifiable and reckless changes in dealing
with the Wynkoop Hallenbeck Crawford Company, which resulted
in loss to the Department of nearly $30,000.
DIVISION OF FREE DELIVERY.
August W. Machen was appointed in the Free-Delivery Service
May 6, 1893. He was dismissed May 27 last. It will be observed,
therefore, that his service in the Department covered a period of ten
years. The story of his official record is an interesting study, and
probably has no parallel in the history of the postal service.
An examination of his correspondence during the Cleveland Ad-
ministration shows that he posed at that time as a strong and aggres-
sive Democrat, frequently injecting political remarks into letters of
an official character. But during the closing days of that Adminis-
tration he very skilfully. shifted, and after the 4th of March, 1897,
became greatly interested in the welfare of the McKinley Adminis-
tration. He acquired new associates, and was quite successful in
establishing intimate relations with men who were influential in the
White House.
No story can give so clear an idea of Machen' s methods of admin-
istration as a simple statement of facts.
CARRIERS' TRAPS..
On September 16, 1893, four days after Machen became super-
intendent of free delivery, he wrote the First Assistant Postmaster-
General recommending that leather straps be substituted for twine
The Postal Frauds. 231
used by letter-carriers in tying up their mail, stating that to equip
the service would not cost more than $1,750 a year. The recom-
mendation was approved, and Machen ordered several thousand
straps from George D. Lamb, of New Haven, Conn. Up to the time
of Machen's removal over 1,000,000 straps had been purchased, at a
cost of $137,217.39, or over $14,000 a year.
On July 24, 1900, the postmaster at Worcester, Mass., wrote the
Department asking permission to buy carriers' straps from a local
dealer, stating that he could buy them for about half the price the
Department was paying. Machen refused this request, stating:
"The straps for this year were purchased of Mr. George D. Lamb,
in accordance with contract with this office."
This bold statement was made in the face of the fact that no con-
tract had ever been made, Machen buying the straps from Lamb at
a price fixed by a verbal agreement between them.
George D. Lamb is now dead and the business is conducted by
George B. B. Lamb, his son, who advised the inspectors that he
knew nothing of the details of his father's arrangement with Ma-
chen, but that a man named W. C. Long appeared at his father's
office at regular intervals and collected 2-J cents for every strap fur-
nished. During the nine years that these straps were used Lamb
paid Long contributions aggregating about $30,000, a part of which
has been traced into Machen's hands.
CARRIERS' SATCHELS.
Carriers' satchels are purchased under four-year contracts.
Boyle Contract. — On June 25, 1894, a contract was executed with
John Boyle & Co., of New York, for furnishing these satchels, be-
ginning July 1, 1894. The shoulder strap was a part of the satchel
to be furnished by the contractor. On August 18, 1894, Machen
wrote the company that straps would be furnished them by George
D. Lamb. During the life of the contract, 20,784 shoulder straps
were furnished Boyle & Co., upon which Long and Machen received
2-J cents each.
The Boyle contract expired June 30, 1898, and that year Machen
awarded the contract to Leopold J. Stern, of Baltimore, a dealer
in plumbers' supplies. The specifications called for a satchel with
leather strap minutely described, the same as the contract with
Boyle & Co. Yet Stern was supplied with 55,700 shoulder straps.
Lamb continued to pay Long a bonus on the straps, and Stern paid
for being relieved from furnishing them.
Machen, Stern and Long were indicted on July 31, 1903, by the
Federal grand jury in the District of Columbia for conspiracy to
defraud.
Crawford Contract. — On June 30, 1902, the contract with Stern
expired, and a new contract was entered into for a period of four
years from that date with the Postal Device and Lock Company of
New York, represented by William G. Crawford, of Washing-
ton, D. C.
Before the bids were opened Crawford enlisted the services of
232 The Postal Frauds.
George E. Lorenz, of Toledo, Ohio, to aid him in securing the
contract. An agreement was entered into between Lorenz and
Crawford whereby Lorenz was to receive a specific amount on each
satchel as his share of the profits, and he was to furnish the straps.
An analysis of the accounts shows that the money which was paid
to Lorenz by Crawford was subdivided between Lorenz, Machen and
Crawford. Machen and Lorenz each received 37£ per cent, and
Crawford 25 per cent. The straps which Lorenz agreed to provide
were never furnished by him, but by Machen, and paid for by the
Department.
This was probably the most skilful and complex scheme invented
by any of the "postal grafters." It consisted of a double conspiracy :
First, Lorenz and Machen conspired with Crawford to defraud the
Government out of the price of the straps ; then Crawford conspired
with Machen and Lorenz to defraud his own company out of the
profits on the manufacture of the satchels, while on the side was
Long and Machen receiving a "graft" on straps from Lamb.
GROFF FASTENERS.
The Groff fastener is a patented device for attaching street letter
boxes to posts. No contract was ever executed for these fasteners.
They were bought by Machen direct. This method of attaching
letter boxes was not a necessity, and in many places postmasters
did not consider it satisfactory. The cost of the manufacture
of the patent fastener was 25 cents each. For many years the De-
partment paid $1.50, but the price was afterwards reduced to $1.25.
Of the $128„651.25 that during eight years has been paid the
Groffs by the Department, Machen and Lorenz have received about
$51,460.
The Groffs, Machen, and Mr. and Mrs. Lorenz were indicted by
the Federal grand jury in the District of Columbia on June 5, 8
and 22, 1903, for conspiracy to defraud and the offering and receiv-
ing of bribes.
PAINTING OF STREET LETTER BOXES.
In 1897 Machen made a verbal arrangement with John T. Cup-
per, of Lockhaven, Pa., to paint all of the letter boxes in the United
States, allowing him 25 cents each on the posts, 50 cents each for
the letter boxes, and $1 for the package boxes ; if the work was done
by a local painter Cupper was to furnish the material and receive
38 cents for each letter box and 75 cents for each package box.
The manufacturers of letter boxes by the term^ of the contract
were required to paint the boxes at the factory, but, regardless of
this provision, Cupper was ordered in July, 1900, to paint all the
letter boxes at the factory where they were made, and he was paid
$16,227.50 for this work.
Inquiry from about five hundred free-delivery offices shows that
the expense of painting letter boxes for the six years prior to
Machen's agreement with Cupper was 29£ cents each. Since Ma-
chen's removal the boxes have been painted in thirty-eight cities,
The Postal Frauds. 233
the average cost per letter box being 28.7 cents, package boxes 51
cents, and posts 9 cents each.
Cupper, when first interrogated, denied that he had ever paid
anyone a part of the money he received for painting letter boxes.
Later when he was confronted with drafts which he had paid to
W. C. Long, he admitted that he had paid him 10 cents per box on
every box painted, or about $20,000 during the last five years.
Part of this money has been traced to Machen.
When the system of carrier registration was adopted, Machen con-
ceived the idea that the carriers needed a small case in which to
carry the registration book. He bought these cases from Maurice
Eunkle, of New York, and Charles E. Smith, of Baltimore, Md.,
without competitive bid. On October 30, 1902, 21,000 had been
ordered, though at that time there were but 11,000 rural carriers
in the service.
Eunkle was not a leather manufacturer, but a dealer in clothing.
He received from the Department 90 cents each for the cases and
had them made by leather manufacturers, paying from 25 to 28
cents each. The 21,000 cases cost Eunkle $5,831.96, while the Gov-
ernment paid him $18,906.30, making him a profit of $13,074.34.
Eunkle paid Machen $2,450 for worthless mining stock and also
gave McGregor, a clerk in Machen's office, certain sums of money.
Machen, Eunkle and McGregor were indicted by the Federal
grand jury in the District of Columbia, on July 31, 1903, for con-
spiring to defraud.
v Charles E. Smith Cases. — The cases alleged to be for city delivery
were bought of Charles E. Smith, of Baltimore, Md. They were
exactly the same as the Eunkle cases in construction. C. Ellsworth
Upton, an employee under McGregor in the free-delivery division,
took up with Smith the matter of supplying these ca*ses. Upton
submitted to him a sample case and Smith told him he could fur-
nish them for 50 or 60 cents each. Upton told him to make a pro-
posal to Machen at 90 cents, which he did ; and 20,000 cases were
bought from him at that price. Smith states that the profit on all
the cases he furnished was $11,450, and that this amount was di-
vided as follows :
Machen $4,000
McGregor 2,000
Upton 2,000
Smith 3,450
Upton and McGregor were indicted in Baltimore on June 25,
1903, for conspiracy to defraud.
STREET LETTER BOXES.
One of the most important contracts for free-delivery supplies
is that for street letter boxes. These contracts are let periodically,
every four years. In February, 1893, the contract was awarded to
Maybury & Ellis, of Detroit, Mich. Machen became Superintendent
of Free Delivery in the following September, six months after the
contract had been executed.
234 The Postal Frauds.
Maybury states that not many months after Machen's appoint-
ment, Eugene D. Scheble, a dentist of Toledo, Ohio, called on him
and interested him in a patent he had acquired for a new letter box.
Maybury agreed to give Scheble a 25 per cent, interest in the con-
tract which he then held. Maybury, when asked why he gave
Scheble an interest in this contract, stated that he thought there
was merit in Scheble' s box, and that it might in the future become a
troublesome competitor.
During the first year, that is, before Scheble had interested him-
self in the contract, there were 2,740 boxes ordered, for which the
Department paid $8,189.40. Maybury' s profits, as near as can be
estimated, amounted to $3,425 on that year's business. During
the second year, after Scheble became interested, 16,400 boxes were
ordered, at a cost of $52,526.25. The total profit of the second
year's business was $20,500, of which Maybury received three-
fourths, or $15,375, and Scheble one-fourth, or $5,215.
In 1897, when a new contract was to be made, the box which
Maybury had acquired from Scheble, known as the Scheble box, was
the one selected, and, as a result, Maybury & Ellis were required to
give him a 50 per cent, interest in the new contract. The evidence
Bhows that Scheble remitted one-half of the profits in this contract
to Machen.
One Solomon C. Wynn submitted a proposal to furnish the vari-
ous sized boxes at $1.75, $2.25 and $2.75, as against the Scheble
box at $2.60, $3.25 and $5.25 each. Wynn, therefore, became an
embarrassing competitor. But Machen was equal to the occasion;
he stated to Postmaster-General Wilson that he had a cousin, Ar-
nold J. J. Machen, of Toledo, Ohio, who was interested with Wynn
in this box, and that he did not think it proper for the contract to
be awarded io a firm in which a relative of the Superintendent of
Free Delivery was financially interested. The Postmaster-General
evidently was impressed by the unselfish devotion of Machen to the
public interests, for Wynn's bid was discarded, though in so doing
the cost of letter boxes during the contract period was increased
$51,553.80. The profits on this contract to Maybury & Ellis aggre-
gated something over $53,000, half of which was given to Scheble,
which the evidence indicates was divided equally with Machen.
During the past four years 27,000 letter boxes have been dis-
tributed on rural routes. They are unnecessary, since every farmer's
letter box serves the purpose of both a deposit and a collection box.
Postmasters wrote frequently stating that the boxes were of no use,
that in many of them there was not a letter deposited once a month.
Nevertheless Machen continued to have them erected, and during
the last four years over $70,000 has been paid for letter boxes on
rural routes.
PACKAGE BOXES.
The large boxes fastened to the letter-box posts or other supports
are styled package boxes. They were first contracted for in 1893.
Isaac McGiehan was the real contractor at that time and has been
since.
The Postal Frauds. 235
In 1897 Solomon C. Wynn, whose bid for letter boxes was thrown
out upon the fiction that Machen had a cousin interested with him,
was also a bidder on package boxes, and offered to supply them for
$3.50 each. But the bid was set aside with five others, ranging
in price from $4 to $8 per box, and the contract given to McGiehan
at $10.80. The evidence shows that McGiehan paid Machen a
"royalty" of 50 cents a box. McGiehan and Machen have both
been indicted.
THE MONTAGUE INDICATOR.
The Montague Indicator is a device attached to street letter boxes
showing the hours of collection. It was promoted by W. W. Mon-
tague, Postmaster at San Francisco, Cal., and D. S. Richardson, a
cashier in that office.
A company was organized in 1899 with a capital stock of
$100,000, consisting of 20,000 shares, par value $5. Immediately
after the company was organized, Richardson and James W. Erwin,
at that time a post-office inspector, visited Washington for the pur-
pose of securing the adoption of the device by the Post-office Depart-
ment. Richardson consulted George W. Beavers, who told him that
to insure success he ought to distribute stock among the officials who
had charge of the matter. Acting upon this suggestion Richardson
gave Machen 1,000 shares of the stock, who requested that it be
issued in the name of H. G. Seger, and Beavers 2,000 shares that
were issued in the name of Richardson. A short time after this
gratuitous distribution of stock an order was given for 7,000 indi-
cators, at $4.25 each.
Seger, in whose name the stock donated to Machen was issued,
says he bought this stock from Machen and paid him $1,200 for it.
There is a mystery about the true ownership of the 2,000 shares
given to Beavers. It was issued in the name of D. S. Richardson,
and at Beavers's suggestion assigned to John R. McDonough. The
first dividend, consisting of $120, was forwarded to Beavers Febru-
ary 6, 1901, and acknowledged by him in the following letter
Personal.] Washington, February 20, 1901.
My Dear Mr. Richardson: Yours of February 6, with inclosure, duly
received. I will hold the papers in your name for the present until some-
thing decisive is known. I am glad to know that the matter promises so
well. I have not seen Mr. Heath, but will make another effort to-day. He
is mighty hard to locate just now, being busy on national committee mat-
ters. Give my regards to all inquiring friends, and believe me,
Very truly yours, G. W. Beavers,
Superintendent.
Mr. D. S. Richardson,
Room 7, Mills Building, San Francisco, Cal.
This was in February, 1901, and the stock was still in Richard-
son's name, and apparently in Beavers's possession. In August,
1902, Beavers again wrote :
Personal.] Washington, August 21, 1902.
Dear Richardson: Our friend in Salt Lake wants the inclosed stock
236 The Postal Frauds.
drawn in the name of Edwin B. Bacon. Kindly issue new certificates and
have these destroyed. Forward same to me by registered mail.
Yours, very truly. G. W. Beavers.
Mr. D. S. Richardson,
Care Postmaster, San Francisco, Cal.
These letters were secured from Kichardson by the inspectors.
On the face of the last letter is indorsed in lead pencil in the hand-
writing of R. H. E. Esprey, secretary of the company : "Editor
Salt Lake Tribune/' and on the back, "133 S. West Temple" and
"9th E. and Brigham," the first being Perry S. Heath's office ad-
dress and the second his home at that time. The "inclosed stock"
referred to in the last letter consisted of 1,000 of the shares given
to Beavers on December 27, 1899.
Edwin B. Bacon is a citizen of Louisville, Ky., Heath's uncle
by marriage, and said to be one of his most intimate friends. This
1,000 shares issued to Edwin B. Bacon was returned to the company
anonymously in a blank envelope after this investigation began.
Bacon states that he never saw the stock, and did not know that it
was in existence. Heath refused to make a written statement, but
stated verbally to Inspector Simmons that he never heard of the
stock, and had no interest in the company directly or indirectly.
The evidence in this case was submitted to the United States At-
torney for the District of Columbia, and Beavers, Machen and Er-
win were indicted on September 8, 1903, for conspiracy to defraud
the Government. The District Attorney decided that the evidence
against Health was not sufficient to justify his indictment.
RURAL CARRIERS' BADGES.
Charles J. Heller, of Philadelphia, who furnishes badges for rural
carriers, receiving 50 cents each, was required to give Machen 10
per cent, on the gross sales, amounting to $767.55 in three years.
DIVISION OF SALARIES AND ALLOWANCES.
In August, 1897, George W. Beavers was appointed chief of the
salary and allowance division. Beavers's methods have been reck-
less and without rule or regularity. Increases of allowances for
clerk hire in post-offices were made as matters of favor regardless of
the necessities of the service. Promotions were frequently made
without consideration of the merits of the clerk promoted. Long-
time leases for post-office premises were canceled and the rent in-
creased upon the recommendation of prominent political leaders,
sometimes without regard to the rental value of the premises.
Sale of Promotions. — Otto F. Weis, a clerk in the New York
post-office and an intimate friend of Beavers, and officer of the Post-
office Clerks' Association, according to his own .story, collected from
$8,000 to $10,000 from clerks upon the pretense that it was to be
used in securing favorable legislation.
Many of the clerks in the New York and Jersey City Post-offices
stated under oath that they had contributed to Weis's legislative
fund under the promise of promotion. Frank C. Hay, a clerk in
The Postal Frauds. 237
the Jersey City Post-office, states that Weis told him this money
was to be paid to Beavers after deducting the expenses for collect-
ing.
CLERK HIRE.
The appropriations for clerk hire are made under two heads : "For
compensation of clerks in first and second class post-offices" and
"For separating mails at third and fourth class post-offices."
The amount allowed to third and fourth class offices is based upon
the number of pieces of mail handled in transit. This appropria-
tion, averaging over a million dollars annually, has been distributed
by Beavers largely by personal favor. If a Senator, Member of Con-
gress, or any prominent politician whom Beavers was anxious to
please requested an increase in the clerk hire allowed a postmaster,
Beavers would comply, regardless of the merits of the case.
Offices of First and Second Classes. — It was, however, in offices
of the first and second classes that Beavers reached his climax of
reckless and criminal waste in the matter of clerk hire. Clerks were
appointed in post-offices when they were not needed. Promotions
were made without consulting the postmasters. Clerks were placed
upon the rosters of post-offices and paid when no service was ren-
dered. Changes were made in the title of clerks or employees in
offices in order to increase their salary, while the duties performed
would remain the same.
In five first-class offices assistant postmasters have been designated
as cashiers for the sole purpose of giving them larger salaries than
they were entitled to under the law. Forty-eight clerks at first-
class post-offices have been receiving salaries of from $100 to $400
per annum in excess of what they were entitled to.
Maurice Hooker was appointed a laborer in the post-office at Fre-
donia, N. Y., at $400 per annum, on January 1, 1902, and though
he did no work in the office he drew pay until June 30, 1903,
amounting to $600. He employed a substitute for part of the time
at an expense of $150.
At Fredonia, N. Y., on October 11, 1898, the postmaster was di-
rected to appoint Frank P. Ball as laborer, at a salary of $600 per
annum, which he did ; and Ball was carried on the rolls at that rate
from October 12, 1898, to December 31, 1902, and paid $2,532.07,
for which he rendered no service whatever, being engaged most of
the time in the ticket-brokerage business at Dunkirk, N. Y. This
period covers a part of the terms of two postmasters ; both of them,
however, certified Ball as regularly employed.
At Dunkirk, N. Y., John A. Link was appointed a laborer in the
post-office on May 1, 1898, at $600 per annum, and drew pay until
June 30, 1903, covering a period of more than five years. He was
a barber and continued to work at his trade during all that time.
He received in all $3,100.55, less $171 paid for a substitute, for
which he rendered no service.
At Baltimore, Md., on January 1, 1898, John W. Pettit was ap-
pointed an auxiliary clerk at $200 per annum. He neither per-
238 The Postal Frauds.
formed duty nor drew pay until July 21, 1898, when his salary was
increased to $600 per annum ; and from that date he drew pay regu-
larly, but performed no service whatever. On September 30, 1899,
his roster-title was changed to "bookkeeper" and his salary increased
to $1,500. This salary was paid to the postmaster until Septem-
ber 9, 1902, although he performed no services.
The postmaster says he protested to Beavers against the appoint-
ment of Pettit, stating that he was personally distasteful to him and
that he would not allow him in the office. But at the same time he
certified his name to the Auditor every quarter during the entire
period as a clerk rendering service. Pettit was paid $5,130.96, for
which he performed no service whatever.
LEASES.
The leasing of premises and furnishing of light and fuel for first,
second and third-class post-offices under the supervision of the
salary and allowance division.
Formerly leases were made usually for a period of five years,
with a proviso that the Government might at any time cancel the
lease, if the interests of the postal service required it, by giving
three months' notice. Sometimes it was found necessary to omit
the "three months' clause" in order to secure the most desirable
location, but these instances were rare.
In 1898 a law was enacted authorizing the Department to make
leases for a period not exceeding ten years. On November 2 fol-
lowing the enactment of this law the First Assistant Postmaster-
General, in a letter intended as a guide to inspectors when investi-
gating lease cases, stated :
"While the Department has authority to execute a lease for a period of
ten years, it is not deemed advisable to do so unless it can be demonstrated
that a positive advantage to the service will be secured thereby."
This policy, however, was not consistently carried out.
Canceling Leases. — At Weehawken, N. J., on July 1, 1900, a
lease was executed for ten years, at $500 per annum, including all
equipment, heat, light, etc. On July 1, 1902, eight years before the
lease expired, it was canceled and a new lease entered into for the
same premises and the same equipment at an annual rental of $800.
At Hastings, Neb., on May 1, 1897, a lease was made for post-
office premises for a period of five years, including light, heat, vault,
and equipment, at an annual rental of $700 per annum. In March,
1901, the lessor was notified that the lease would be canceled on
June 30, almost a year before its expiration. Shortly after this a
proposal was accepted for another building no more desirable, at a
rental of $1,800 per annum. A most vigorous protest was filed
against this action of the Department by those interested in the can-
celed lease, and the matter was referred to an inspector for investi-
gation, who, on April 17, 1901, reported as follows :
"Viewed from the statement usually assumed by the Post-office Depart-
ment in the treatment of lease cases, and eliminating all questions of per-
sonal interest, I am unable to conceive what possible representations could
The Postal Frauds. 239
have been made to the Department in this case to result in the entertain-
ment and acceptance of the proposition of Mr. Dietrich at the price named
($1,800 per annum). The proposition is exorbitant, and the location one
that if in competition with other propositions offering central locations at
two-thirds the price asked could not conscientiously be considered."
As a result of this report the price for the new site was reduced
to $1,300 per annum, with the proviso that the Department should
pay for moving and installing the equipment and provide heat and
light. The office was moved at an expense to the Department of
$746.
At Dunkirk, N". Y., a five-year lease was executed March 1, 1898,
at $450 per annum, including fixtures, with an additional allowance
of $115 for light and fuel, making $565 in all. On October 15,
1901, a lease was executed for a room fully equipped and furnished
with light and heat for $1,350 per annum for ten years, the "three-
months' clause" being eliminated. On January 27, 1902, about
three months from the date of execution of this lease, it was can-
celed and another executed at a rental of $1,500. And on May 14,
four months afterward, this $1,500 lease was canceled and another
executed for ten years at $2,000 per annum, with the "three-months'
clause" eliminated. No additional service was provided for in any
of the subsequent leases that was not included in the original lease.
It will be observed that instead of using his authority given by
Congress to make long-term leases to secure better buildings for less
money, it has been used for the benefit of "grafters" who seek to
pillage the public revenues.
BRANDT AUTOMATIC CASHIER.
Prior to 1898 large-sized post-offices, for convenience in enabling
clerks to make change rapidly, were furnished with "coin trays,"
the prices for which ranged from $5 to $12, depending upon the size
and construction.
During the summer of 1898 a number of the Brandt-Dent auto-
matic cashiers were placed in different post-offices for the purpose of
testing its desirability as a change-making device, and the post-
masters were requested to report on their desirability. At that time
Winfield S. Strawn, of Canton, Ohio, was the superintendent of
agencies, and George F. Miller, also of Canton, was the Washington
agent.
Judge George E. Baldwin, of Canton, Ohio, father-in-law of Mil-
ler, the Washington agent, was active in his efforts to secure the
introduction of the machine by the Department. The methods em1
ployed to secure this result are clearly set forth by the correspond-
ence between Brandt, president of the company, and Strawn and
Miller, his agents. On February 20, 1899, Miller wrote Brandt,
stating :
"I am satisfied that we have the assurance and friendships of both par-
ties— General Heath and Mr. Beavers — and all that is necessary is to cul-
tivate that friendship, if not by kind words, by dollars and cents, and I
think the latter will be the most positive; however, the lines we have out
now will result in a change of programme, which means our ultimate sue-
240 The Postal Frauds.
On April 6, after a conference with Baldwin, his father-in-law,
in Canton, Ohio, Miller wrote Strawn as follows :
"Mr. Baldwin * * * says to find out if possible exactly what this
man Beavers wants to insure our success in that Department in the way of
dollars and cents, but not to give it to him unless forced to do so; and when
we do, if at all, he desires to be present in person himself and plan the
agreement."
On May 1 Strawn wrote Baldwin, stating that Brandt would like
for him to come to Washington for consultation. In response to this
invitation Baldwin came to Washington and held a conference with
the parties interested, and as a result on May 9, 1899, an order was
given by First Assistant Postmaster-General Heath for 250 ma-
chines at $150 each. The machines were exactly the same as those
that were selling in the open market for $125, with the exception
of a slight change in the base. After the 250 machines had been
disposed of additional orders were given, until 527 machines had
been purchased, 217 of which were shipped to postmasters without
requisition.
Of the 527 machines purchased, 173 are idle; many of them have
never been taken from the cases in which they were shipped. The
aggregate amount of money paid to the Brandt-Dent Company for
these useless cashiers was $75,275.
Eliminating from consideration all indications of fraud and pass-
ing upon the case wholly as a question of administrative judgment,
it appears to me that this transaction would have justified the sum-
mary removal from office of First Assistant Postmaster-General
Heath and George W. Beavers.
But the element of fraud cannot be eliminated. Men of ordinary
intelligence rarely waste the public revenues in such a manner
without a personal motive.
During the investigation of this case Inspectors Little and Old-
field secured evidence indicating that Ernest E. Baldwin, As-
sistant United States District Attorney for the Southern District
of New York, had knowledge of the transactions between this com-
pany and officers of the Department.
The inspectors were given a written order by the president and
treasurer of the company, directing the firm of Boothby & Baldwin,
of which Ernest E. Baldwin is a member, to give them access to
any papers in their possession bearing upon the subject. When the
inspectors presented this order to Baldwin he refused to recognize
it, became very angry, and with violent and profane language or-
dered them from his office.
There is reason to believe that Judge George E. Baldwin knows
as much about this fraud as any other party, not even excepting
Beavers. He is at present Consul at Nuremburg, Germany, and was
not in this country at any time while the investigation was in
progress. The inspectors therefore did not have an opportunity
to interrogate him.
The Postal Frauds. 241
ELLIOTT & HATCH BOOK TYPEWRITERS.
The Elliott & Hatch bQok typewriter is a machine intended pri-
marily to write in record books. A company was organized to manu-
facture and sell the machine, with Walter P. Hatch as general man-
ager. H. J. Gensler, one of the stenographers of the United States
Senate, was in August, 1897, given the agency for Maryland, Vir-
ginia, and the District of Columbia.
The machine was not a success. On January 24, 1899, the post-
master at Brooklyn, N. Y., to whom three machines had been sent,
wrote, asking that they be taken away, stating that they were useless
and an incumbrance to his office. The postmaster at Chicago noti-
fied the Department that they were of no advantage to him ; that the
clerks could do the work better and faster by hand.
The work done upon these typewriters was of such an unsatisfac-
tory character that the clerks in the inspection division of the Audi-
tor's office protested against their use. Their protest was trans-
mitted to the First Assistant Postmaster-General by A. L. Lawshe,
Acting Auditor, suggesting that the use of the typewriter be dis-
continued.
On September 23, 1898, Gensler wrote Hatch as follows:
"I nave Mr. Eylar's letter of the 22d, concerning the No. 5 machine
which was delivered to the postmaster at Allentown, Pa., who only wants
to pay $175 for same. He does not 'cut any ice' * * * You will no-
tice from the copy of the letter received by me this morning from the Post-
Office Department, sent you under another cover, that the postmaster ha*
been authorized to pay $200 for that machine, and you can bet that he will
pay it p. d. q. or he will be hauled up with a jerk."
Gensler's correspondence plainly indicates that he had an under-
standing with Beavers to furnish his machines when requested by
postmasters. But requests did not come in fast enough, and Beavers
furnished the Elliott & Hatch when other machines were asked for.
Gensler, however, was not able to induce many postmasters to ask
for the Elliott & Hatch machine. From January, 1898, to April
15, 1901, 193 of these machines were bought by the Department at
a total cost of $38,575. Of this number, 131 were sent to the post-
masters without requisition.
The investigation revealed the fact that Gensler had a contract
with the company by which he received $75 on each machine sold
to the Post-office Department. From this $75 he paid W. Scott
Towers, superintendent of Station C, of the Washington Post-office,
$50 ; and the inspectors have evidence that Towers divided this $50
that he received from Gensler equally with Beavers.
BUNDY TIME RECORDERS.
In 1890, while John Wanamaker was Postmaster-General, an
effort was made to introduce the Bundy Time Eecorder for use in
the postal service, but it failed. Later, during the administration
of Postmaster-General Wilson, upon the recommendation of A. W.
Machen, it was adopted. Machen estimated that the entire free-
delivery service could be supplied for $45,599.50.
242 *The Postal Frauds.
The purpose of this clock was to record the time of arrival and
departure of carriers on their official trips. The price of the clock
when first adopted was $75, which was afterwards increased to $100,
and 50 cents for each key ordered. These time recorders were first
used only in the free-delivery service, and their purchase was in the
hands of Machen; but in 1898 First Assistant Postmaster-General
Heath required post-office clerks to use them, and the purchase of
them was transferred to the salary and allowance division.
H. J. Truesdell, who was the agent of the company at the time
these clocks were first adopted, states that he paid Machen $1,000
for his services in securing their introduction into the service.
Criminal action on such payment is barred by the statute of limita-
tions.
The same reckless waste that characterized Beavers's administra-
tion in other matters prevailed in the supply of these time recorders.
The office of Berkeley, Cal., has 11 carriers and 7 clerks, yet it has
been furnished with 3 clocks and 162 keys.
Los Angeles, Cal., with 93 carriers and 87 clerks, was supplied
with 13 clocks and 840 keys.
Eighty-nine clocks have been sent to St. Louis, and thousands of
keys while 24 were all that could be used in Baltimore.
Fort Collins, Colo., with 3 carriers and 3 clerks, has been fur-
nished a clock and 66 keys.
Bristol, Conn., with 5 carriers and 4 clerks, was furnished 2
clocks, 1 of which has never been taken from the crate.
Winsted, Conn., with 5 carriers and 7 clerks, was furnished with
3 clocks and 139 keys.
Independence, Kans., with 3 carriers and 3 clerks, was sent 1
clock with 90 keys.
A hundred other such instances were cited. Such profligate ex-
penditure is almost incredible. In the State of New York there are
26 offices, with no free delivery, and therefore no carriers, that have
been supplied with Bundy clocks. In less than six years, under
Beavers's management, the Department has purchased 1,170 of
these time recorders.
George E. Green receives a salary as president of the Bundy
company and also receives a commission of 10 per cent, on all sales
made to the Post-office Department.
In the course of the investigation the inspectors discovered cer-
tain amounts that had been paid Beavers by Green. They called
upon Green and asked as to such payments, but he declined to make
any statement whatever in regard to them. He was then subpoenaed
before the grand jury and still declined to answer any questions,
taking advantage of the principle that a witness can not be com-
pelled to testify where such testimony would incriminate himself.
The investigation shows that Green paid Beavers the 10 per cent,
commission allowed him by the company on all sales made to the
Department.
The Postal Frauds. 243
CANCELING MACHINES.
There are eight varieties of machines in use in the postal service
for canceling stamps and post marking mail matter; six of these
are leased and two are purchased outright. The appropriation for
the rent and purchase of canceling machines for the fiscal year
1896-97 was $60,000; for the present fiscal year it is $250,000,
showing an increase in the amount of money expended for this
purpose during the time of the Beavers administration of the sal-
ary and allowance division of $190,000, or over 300 per cent.
The Barry machine was invented by William Barry, of Oswego,
jN*. Y., in 1883. In 1895 one hundred of these machines were rented
at $150 per annum. The correspondence of Maj. Kalph Ballin,
the Washington agent in 1897, shows that at the suggestion of
Perry S. Heath, the company employed M. D. Helm, at a salary
of $1,200 per year, to use his influence in behalf of the Barry
machine. After Helm's employment the contract was renewed and
the price raised from $150 to $175, and again in 1898 advanced
to $200 per annum. In July, 1900, after Heath's retirement from
the Department, the rent was reduced to $150. The employment
of Helm was in the nature of a gratuity on the part of the com-
pany because of his relations with the First Assistant Postmaster-
General.
The Hampden. — The Hampden canceling machine was invented
by W. E. Landfear in 1890. Landfear, in 1897, after Perry S.
Heath became Postmaster- General, offered to sell a hundred of these
machines to the Department for $200 each, but the offer was de-
clined.
The company was reorganized in June, 1898, and George N;
Tyner, a brother of the late Assistant Attorney- General, secured a
controlling interest in it. Another effort was then made to sell
the machines to the Department, which resulted in the purchase of
100 machines at $300 each, the same machine with a few slight
changes that had been offered at $200 less than a year before and
declined.
The machines proved worthless. Of the 100 machines purchased
there are at present only 17 of them in use, and there is evidence
that their worthless character was well known to both Heath and
Beavers before they were ordered.
The Doremus. — The most important contract for canceling ma-
chines was that for the Doremus. Its original promoters were W.
D. Doremus, the inventor ; L. T. Michener, member of the law firm
of Dudley & Michener, of Washington, and H. J. Truesdell, of
Binghamton, N. Y. The company was organized August 3, 1899,
and capitalized for $100,000, divided into 1,000 shares of $100
each. Of the 1,000 shares, 250 were reserved as treasury stock, the
remaining three-fourths being owned equally by Doremus, Trues-
dell, and the firm of Dudley & Michener. The 250 shares of treas-
ury stock were transferred shortly after the organization of the com-
pany to George E. Green, of Binghamton, N". Y., in consideration
of his agreeing to guarantee the expense of manufacturing the first
244 The Postal Frauds.
100 machines; and in December, 1899, he acquired the interest
of Dudley & Michener.
Truesdell was on intimate personal relations with Beavers, and
in 1899 an order was given for 100 machines, at $150 each. Long
before all of the 100 machines had been delivered the Department
received numerous complaints from postmasters stating that they
were worthless; and on account of the great dissatisfaction with
this first 100 known as Model No. 1 the Doremus Company. estab-
lished a factory of its own in Washington and created Model No. 2,
and Beavers, without testing its efficiency, on June 30, 1900, con-
tracted for 100 of the new machines at $225 each. Model No. 2 also
proved a failure, and Model No. 3 was made, and Beavers promptly
gave an order for 100 machines of that model at $225 each.
Of the 200 machines purchased of models Nos. 1 and 2 but 39 are
now in use, the remaining 161 being practically a net loss.
Six hundred and seventy-one of these machines have been ordered
by the Department, at a net cost of $143,475. This is a repetition
of the story of automatic cashiers and Elliott & Hatch type-
writers, except that it is on a larger scale.
In 1901 Truesdell and Green became estranged and Truesdell
left the employ of the Bundy Company, and also sold his interest
in the Doremus canceling machine. When interviewed by the in-
spectors Truesdell stated that before the second order on June 30,
1900, was given for 100 machines Green told him he had transferred
to Perry S. Heath, First Assistant Postmaster-General, $20,000
worth of his stock, in consideration of receiving an order for not less
than 300 machines.
Truesdell states that he contributed $5,000 worth of stock to-
Green as his share of the amount given Heath. He also stated
that Doremus transferred $5,000 worth of his stock in the same
manner. Doremus denies any knowledge of the stock having been
given to Heath, but states that he did contribute 50 shares, par
value $5,000, to Green to be used for the best interests of the com-
pany. Doremus admits that Truesdell told him subsequently that
the stock was to be transferred to Heath in consideration of re-
ceiving a large order for machines. Ida E. Crowell, TruesdelPs
secretary, who was a bookkeeper in the employ of the Doremus
Machine Company from October 3, 1900, until August, 1901, con-
firms many of TruesdelPs statements.
Heath refused to make a written statement but said verbally
to Inspector Simmons that he never received any stock from the
Doremus Canceling Machine Company or any remuneration of any
kind, directly or indirectly.
Truesdell further states that on all machines sold to the Depart-
ment after the order for 100 Model No. 1, the company was re-
quired to pay Beavers $25 on each machine, which Beavers stated
was to be divided with Heath; that on the first 100 he did not
receive $25 each, but a lump sum of money, as he remembers $500,
which he personally paid Beavers in New York. Truesdell states
that he paid Beavers sums of $500 upon three other occasions;
The Postal Frauds. 245
that he procured the money by checks on the Seventh National
Bank of New York, cashed at the Citizens' National Bank, by Ida
E. Crowell. Ida E. Crowell and the records of the Citizens' Na-
tional Bank confirm Truesdelr's statement as to the cashing of the
checks. ,
Ida E. Crowell states that the money procured by cashing these
checks was charged on the books of the company to "commission
account." Her statement is corroborated by William W. Long, of
Washington, D. C, a bookkeeper, who was employed to post the
books of the Doremus Machine Company, who states that he found
such entries on the blotter and ledger, made by Mrs. Crowell, but no
name was given as to whom the money was paid.
Mrs. Crowell and Truesdell left the employ of the company in
1901, and since then Green attended to the business personally,
as he did in the case of the Bundy clocks. He has left a more def-
inite record of the money paid to Beavers than was left by Trues-
dell.
As has been stated, an account of the company was kept in the
Seventh National Bank of New York. In the same bank Green
also kept an account. On March 14, 1902, Green drew a check
for $500 on the account of the Doremus Machine Company in
the Seventh National Bank; on March 15, the personal account
of Green in the same bank was credited with the same amount,
and on March 18 Beavers deposited in his account in the Nassau
Trust Company of Brooklyn, N. Y., a check on the Seventh Na-
tional Bank of New Yor.k for $500, and on March 19, the per-
sonal account of Green in the Seventh National Bank of New
York was charged with $500.
On May 10, 1902, a check for $1,000 was charged to the ac-
count of the Doremus Machine Company in the Seventh National
Bank, and on the same day the personal account of Green was
credited with that sum ; four days later George W. Beavers depos-
ited by letter from Washington, D. C, with the brokerage firm
of Moore & Schley, of New York, the personal check of George
E. Green for $1,000.
On June 24, 1902, the account of the Doremus Machine Com-
pany in the Seventh National Bank of New York is charged with
a check for $1,750, and on the same day, the personal account
of Green in the same bank is credited with the identical sum. The
next day Beavers deposited with the brokerage firm of Moore
& Schley, of New York, the personal check of George E. Green
for $1,750.
There were 130 Doremus canceling machines installed by the
Post-Office Department from January 1, 1902, to June 1, 1902.
The three checks referred to aggregate $3,250, an amount exactly
equivalent to $25 each on 130 machines.
When the inspectors inquired of Green as to these payments to
Beavers he refused to make any statement. He was subpoenaed
before the grand jury and he still refused to answer any questions.
The inspectors also called upon Doremus and asked permission
246 The Postal Frauds.
to examine the books of the company to either verify or disprove
the truth of the statements of Truesdell, Ida E. Crowell, and Long,
but they were refused permission to see the books. Doremus
claimed that they were not in his custody ; that he had no author-
ity over them and could not therefore permit them to be exam-
ined; that they were in the charge of L. S. Fish, the bookkeeper.
Fish was subpoenaed to produce the books before the grand jury.
He answered the subpoena, but stated that the books of the com-
pany had been burned last winter.
On October 5, 1903, indictments were found against Green,
Doremus, and Beavers for conspiracy to defraud.
The evidence against Heath was also submitted to the district
attorney, who decided that it was not sufficient to warrent his in-
dictment.
The administration of Beavers was, if possible, more demoraliz-
ing upon the integrity of the service than that of Machen.
CONCLUSION.
For the purposes of this report, the investigation ordered by
you on March 7 has been completed. In the preparation of cases
for trial where indictments have been found, information may be
secured which will necessitate further investigation and possibly
involve persons not now implicated. J. S. Bristow,
Fourth Assistant Postmaster-General.
VIEWS OF THE MINORITY OF THE COMMITTEE ON
POST-OFFICE AND POST-ROADS, HOUSE OF
REPRESENTATIVES.
When the Post-Office Appropriation bill was reported to the
House of Eepresentatives during the last session of Congress, the
Democratic members of that committee presented the following
minority report:
The House passed a resolution recently directing the Postmas-
ter-General to furnish to this committee, at their request, the re-
port in the matter of the investigation of the frauds in the sev-
eral divisions of the Post-Office Department. This report was
necessary for the use of the committee in framing the pending
appropriation bill. It discloses startling corruption in the divi-
sions investigated and a method of doing business naturally con-
ducive to fraud.
This investigation was confined largely to one division of the
Post- Office Department. It is impossible to say whether or not
the same corrupt methods obtain in the other divisions. The busi-
ness intercourse between the divisions of the Post- Office Depart-
ment, all under one head, make it probable that the fraud and
The Postal Frauds. 247
corruption confessedly attached to one of the divisions exists in
some measure in other divisions of the same service.
In view of the interesting report mentioned, and of the hear-
ings, and of the detailed proof furnished by the Department to
the committee of improper conduct of post-office officials, and of
the charges against other divisions of the Department and the
imperfect methods of obtaining facts as to the conduct of affairs
in that office, it would seem to be the part of wisdom that the House
should proceed to a full and complete investigation of the Post-
Office Department in all of its branches, for the betterment of
the service, the prevention of fraud, and the general protection
of the public interest. Bad systems and public plunders too often
afflict the administration of public affairs. To their eradication
no one should object. So far as frauds committed and disclosed
are concerned, their investigation for the most part is now a mat-
ter for the courts of justice to consider. We are concerned alone
in devising means to prevent the repetition of similar frauds and
ascertaining the extent of the weakness of our postal system and
providing an adequate remedy against it. Impressed with the
justice of these general views as applicable to existing conditions
in the Post-Office Department, they are submitted for your con-
sideration, with the recommendation that there be a full and com-
plete investigation of the affairs of the Post-Office Department un-
der a committee of Congress.
John- A. Moon,
J. M. Griggs,
W. S. Cowherd,
D. E. Finley,
Theo. ■ F. Kluttz.
This investigation was refused by a strict party vote, the Demo-
crats unanimously voting for, and the Republicans against it.
CIVIL SERVICE ABUSES.
The Democratic position respecting the Civil Service system
is thus declared in the St. Louis platform of 1904 :
"The Democratic party stands committed to the principle of Civil
Service reform; and we demand its honest, just and impartial enforce-
ment.
"We denounce the Republican party for its continuous and sinister
encroachments upon the spirit and operation of Civil Service rules, where-
by it has arbitrarily dispensed with examinations for office in the in-
terests of favorites, and employed all manner of devices to overreach
and set aside the principles upon which the civil service was established."
The devices employed by the Eepublican Administration to over-
reach the law are well illustrated by the Somerville and Summit
scandals, explained in the following article, taken from the Wash-
ington "Post" of July 22, 1903, which relates to the controversy be-
tween Civil Service Commissioner John E. Proctor and ex-Post-
master General Charles Emory Smith:
CIVIL SERVICE COMMISSIONER PROCTOR'S STATEMENT.
"Civil Service Commissioner Proctor states that in many cases where
persons have been appointed or nominally assigned to post-offices which
were about to be classified, many such persons were residents of other
cities, and even of States other than those in which were located the
post-offices in which they were nominally appointed to serve. In some
of these appointments an examination of the records of the auditor's
office, shows that no salary was drawn by the person so appointed or
assigned.
"The order for* the establishment of the free delivery service at Somer-
ville was issued by the Postmaster Geneial on February 2, 1900, on which
date there were three clerks employed. Between that date and May 1,
1900, when the carrier service went into effect, the following-named ad-
ditional clerks were appointed: William Zierle, Miss Annetta Hale, John
B. Ernst, Charles E. Clark, and Charles E. Baker.
"Mr. Zierle was appointed a laborer in the Philadelphia post-office
on October 1, 1899. He was sent to Somerville in order that he might
be classified as a clerk, and then transferred to a clerk's position in the
Philadelphia post-office, a position that he could not ordinarily reach
except by competitive examination.
"The name of Miss Annetta Hale was placed upon the clerical roll
of this office solely for the purpose of classification, with a view to her
subsequent transfer to a clerical position in the Brooklyn office without
the requirement of a competitive examination.
"Jonh B. Ernst was formerly a laborer in the Philadelphia post-
office, and was sent to Somerville in order that he might obtain a status
in a classified position, and be transferred to a classified position in the
Philadelphia post-office.
"Charles E. Clark, a laborer in the Philadelphia post-office, was sent
to Somerville for classification in order that he might be transferred to
Philadelphia, and obtain a position without the requirement of an ex-
amination.
"Charles E. Baker was appointed at Somerville a few days before
the office was classified, in order to avoid taking the competitive exam-
ination for appointment in the Philadelphia post-office. He was trans-
ferred from Somerville to Philadelphia, June 16, 1900.
"The postmaster at Summit, so Mr. Proctor says, stated to him that
Civil Service Abuses. 249
the increase made in the office force was not needed, and that the ad-
ditional clerks appointed performed no service whatever.
"Commissioner Proctor has commented sharply in published report*
on the increase at the Summit, N. J., post-office, of which the following
is only one sample:
"Miss Charlotte Madden, a resident of Detroit, Mich., was, as shown,
by the records and by this investigation, appointed at the Summit post-
office on April 20, 1900 (nominally with compensation at $400 per an-
num, although, as shown by a letter from the auditor of the Treasury
for the Post-Office Department to the Commission, under date of August
9, 1900, her name does not appear upon the pay-rolls of the Summit, N. J.,
post-office at all ) . She was subsequently transferred to a position of
clerk in the Post-office Department upon non-competitive examination.
She never reported for duty at the Summit post-office, and the only knowl-
edge that the Postmaster had of her appointment and separation were
the notices he received from the Post-office Department. She was not
an employee of the Summit post-office in the sense contemplated by law,
and was simply placed upon the roster of that office in order that she
might be transferred to the Post-office Department without the competi-
tive examination and certificate intended by the rules to cover such cases.
"Miss Madden, it is said, is a very near relative of Third Assistant-
Postmaster General Madden. Whether she was appointed at his request
cannot be stated positively.
"The Summit office was classified May 16, 1900. A request for Mis*
Madden's transfer to the Department at Washington was made on the
19th of June, and the transfer was issued on the 27th of that month.
"The result of the investigation was presented to President McKinley,
with a memorandum by Mr. Proctor, dated November 14, 1900, which
made specific recommendations for the correction of the irregularities,
and which said in part:
"'The persons who were classified in those offices (Summit and Som-
erville) and borne on the rolls, and who never appeared and rendered
service at the office, were illegally paid, if paid from the funds of the
Post-office Department, because they did not render service. They were
illegally paid, if paid, in the Post-office Department or in the Philadel-
phia post-office, where some of them were serving, because they were
borne upon the rolls elsewhere. If they did not receive pay for the time
they were so borne upon * the rolls of the Summit and Somerville offices,
it is a violation of the statute prohibiting the rendering of service with-
out compensation.
" 'These appointments were made of people who do not reside in the
postal districts, and were forced upon the postmasters by the Depart-
ment, thus making a subordinate co-operate with the department in eva-
sion of the law, which is very demoralizing to the public service. In view
of all these facts, a strong letter should be written to the Postmaster
General, which should be presented in person by the commission, and at
the same time a rule should be prepared for submission to the President
which would prevent these evils in the future.'
"This matter was called to President McKinley's attention several
times, and by him, it is said, referred to Postmaster General* Smith."
Other apt illustrations of the devices employed to overreach and
set aside the Civil Service rules, and even the statute creating the
system itself, are found in the report submitted to the Attorney-
General by his special assistants, Messrs. Holmes Conrad and
Charles J. Bonaparte, which was published as an addendum to the
report of the Postmaster General in the matter of the investigation
of the Post-Office Department, as transmitted to the Committee,
on Post-offices and Post-roads of the House of Representatives,
December 15, 1903.
250 Civil Service Abuses.
After a patient and exhaustive investigation of the charges made
by Seymour W. Tulloch in 1900, and reiterated by him in 1903, re-
lating to the conduct of the Washington City Post-office and the
administration of the Civil Service laws and rules therein, Messrs.
Conrad and Bonaparte reached three very important conclusions:
1. That subordinates were employed, without necessity or ad-
vantage to the service, in distant post-offices which were about to
be classified, for the sole purpose of being transferred to the Wash-
ington City Post-office immediately afterward.
2. That subordinates were employed in the Washington City
Post-office, as 'laborers," to do classified work.
3. That subordinates were employed in the Washington City
Post-office, as "laborers," or in positions otherwise exempted from
competitive examinations, whose services were not needed, and who,
in many cases, were not expected to render any service, and did not
render any.
CIVIL SERVICE UNDER CHARLES EMORY SMITH.
Under the first head they report that the following appointments
and transfers were made in 1899 : Elsie J. Anderson, from Sisters-
ville, W. V. ; William Bonar, from Nyack, N". Y. ; Percival Mar-
shall, from Columbia, Tenn., an& D. G. Miller, from Winchester,
Va. The niece of H. Clay Evens, Commissioner of Pensions, was
at a later date put into a small post-office in Pennsylvania which
was about to be classified, and thus brought into the service and im-
mediately transferred to the Washington City post-office, from
which she was at once re-transferred to the Pension Office. How
many similar cases have occurred it would be hard to guess, but
those above-mentioned show that the practice existed and was coun-
tenanced by the Administration.
After stating the law in such cases, Messrs. Conrad and Bona-
parte, speaking of those appointments and transfers which were
made in 1899, as above stated, say:
"These persons were employed in the post-offices about to be classified,
precisely 'to enter' one 'of the said classes' of public servants without hav-
ing passed an examination; or, in other words, their employment was for
the very purpose which is totidem verbis forbidden by the statute. Such
an employment constituted an evident fraud upon the law. We cannot
find any statute of the United States which constitutes such action on
the part of a responsible Federal officer a crime; but it is clearly a grave
breach of public trust. So far as is indicated by the papers submitted
to us, the persons directly responsible for these fraudulent employments
were Messrs. Perry S. Heath and George W. Beavers, neither of whom is
now in the public service. It seems clear, however, that this responsibility,
in some measure, extends to the late Postmaster General (Mr. Charles
Emory Smith), who appears to have at least tolerated the practice after
notice of its existence, and to the late and the present postmasters at
Washington, each of whom appears to have accepted the transfer to his of-
fice of a number of persons thus employed without, as far as is shown,
any protest or exposure; facts substantially submitted as to himself, in
Mr. Merritt's letter of June 29."
Under the second head, speaking of laborers employed to do
"classified" work, Messrs. Conrad and Bonaparte said :
Civil Service Abuses. 251
"In the report of Inspector Little on the annual inspection of the office,
completed July 31, 1900, he states that besides 11 'janitors' there were
then employed for the office 1 laborer, at $400 per annum, 4 more at $500
per annum, 30 at $600, and 29 at $700, or 64 in all. The 'foreman' of
this large force was no other than the Oliver H. Smith who figures in so
many capacities in this correspondence, and was appointed 'finance clerk/
a position excepted from competition under the civil service rules because
of its supposed necessary connection with the handling of funds and con-
sequent 'confidential' character, but seems to have discharged altogether
different duties.
"The reports and correspondence show conclusively to our minds that
the service of a large proportion of these so-called 'laborers' were either
wholly or partially clerical or supervisory, although we must not be un-
derstood as intimating that their services were in all cases without value
to the Government. On the contrary, they seem in some instances to have
done the proper work of more highly paid employees retained in the serv-
ice for other reasons than the public interest. Thus in the report of In-
spector Little, above quoted, after saying of the former superintendent of
a station, 'he cannot issue a money order or make out a report, and
never was able to do so when superintendent,' and of another officer who
was borne on the roster as 'money order clerk' that he 'cannot perform
the duties of that position, and has been employed as stamp clerk. He
is too infirm to fill that position satisfactorily, and should be removed
for the good of the service'; adds that a certain young lady, 'is also as-
signed to this station as a laborer, at $600 per annum, and is rendering
good service as a clerk,' but her employment, or that of some other com-
petent clerk, is necessary to make . up the deficiencies of the two men
mentioned. The case might be a little stronger if the employment
should prove to be one governed by section 4 of the act approved August
5, 1882, (22 Stat. L. 255), forbidding payments except for services ac-
tually rendered and at the rate of compensation usual and proper for
such services; but without regard to this statute, we consider an agree-
ment that the United States should pay to get something and get noth-
ing, made knowingly by an officer of the Government, is 'a conspiracy
to defraud the United States.' "
Under third head, respecting the employment of laborers who
perform no service, Messrs. Conrad and Bonaparte, in their report,
say:
"At the end of Exhibit B, appended to the letter of Fourth Assistant
Postmaster General to the Postmaster General, dated, May 4 last, is the
following passage:
" 'Under date of July 5, 1899, referring to the inspection of the Wash-
ington post-office, concluded June 30, 1899, Inspector Owings states that
they found the name of one charwoman on the roster of Stations A, B,
and G, and the superintendents were unable to state what duties she
performed, or what salary she was paid; and that in conversation with Mr.
Beavers, Chief of the Salaries and Allowance Division, after the transfer
of the post-office to Postmaster Merritt, he, (Beavers,) requested the in-
spector to inform the inspector-in-charge that when he struck the names
of the charwomen of the stations, it would be well not to mention them
in his report, as they were personal appointments of the Postmaster Gen-
eral.' "
Messrs. Conrad and Bonaparte express the following opinion on
this point:
"We entertain no doubt that some, at least, of these women and cer-
tain other employees as well, were employed by the responsible officers
with full knowledge that their services were not needed, and that their
employment burdened the Government with a wholly useless and unnec-
252 Civil Service Abuses.
essary expense, and that whatever may have been the motive for this un-
justifiable action, it teas not prompted by a regard for the public inter-
est."
RE-APPOINTMENT OF POSTMASTER MERRITT.
Since the Conrad-Bonaparte report was made public, President
Roosevelt has reappointed Mr. Merritt to the office of Postmaster
at Washington City, notwithstanding that officer's violation of the
civil regulations, so severely criticised in the report referred to.
TULLOCH'S OPINION.
Mr. Tulloch, in his interview of May 1, 1903, said :
"The civil service can always be gotten around when necessary, as
seen in the appointment of cleaners, charwomen, laborers, financial clerks,
auditors, and other excepted persons, irrespective of the duties per-
formed."
Commenting on this Messrs. Conrad and Bonaparte say :
"We do not feel called upon to express any opinion as to whether the
facts thus stated impugned the efficiency of the Civil Service Commis-
sion, as organized during the years to which Mr. Tulloch's allegations re-
fer (i. e., the years 1897 to 1900), but there can be, we think, no doubt,
that the above-quoted statement, if somewhat exaggerated, contains a
large measure of truth."
ARBITRARY DISPENSATIONS.
It is the custom of the Civil Service Commission, in its annual
reports to Congress, to state the number of exceptions made by the
President to the rule requiring that entrance to the classified service
shall be through competitive examination. Sixty exceptions are
named in the latest report as the total of President Roosevelt. Only
three exceptions were made in this way by McKinley, and only one
by Cleveland.
HOW IT WORKS IN NEW ENGLAND AND CHICAGO.
The New York Evening Post of June 10, 1904, gives, as informa-
tion obtained from the Civil Service Commission, the following
statement concerning the workings of local civil service boards :
"From time to time the Commission had to visit and inspect the sev-
eral boards to see how they were getting along with their work, whether
there were any complaints of favoritism or other faults against themt
how methodical they were in keeping the records, with what sort of at-
mosphere they were surrounded, etc. Such inspections not infrequently
unearthed abuses which ought not to exist, even where no downright
corruption was charged, and the offender was wholly unconscious of doing
anything wrong. For example, the overhauling of a board in a thrifty
N«w England town discovered a secretary — the chief executive officer
of the group — who frankly declared that he had been in office five years,
and that no Democrats would have any share in the administration of
this Government as long as he could keep them out."
The Washington Evening Star of February 2, 1904, says:
"Gen. H. H. Thomas, who was ousted from the position of appraiser
of the port of Chicago, and was succeeded yesterday by Lyman T. Hoy,
a protege of Senator Hopkins, has made public a bitter attack on Secre-
tary Shaw of the Treasury. Part of his letter is as follows:
Civil Service Abuses. 253
" 'The Republican party prides itself upon its devotion to the civil
service law, and you have sworn to enforce that as well as other laws.
Let us see the performance. In April last there occurred a vacancy in
the tobacco examiner's office, which carried a salary of $1,800. There
being no eligibles to select from you appointed Mr. Lahann for a thirty-
days' term at $10 per day. You reappointed him each month until Sep-
tember 2, when a competitive examination was held, in which he partici-
pated and failed to pass. A half dozen of them did pass, and some of
them well up in the nineties, and the law made it one of your duties to
appoint one of the three highest, but you set aside the law, and have ap-
pointed Lahann five times since.' "
ARBITRARY RULE IN THE UNCLASSIFIED CIVIL SERVICE.
So far as the vast army of officeholders in the "Unclassified
Civil Service" is concerned, President Roosevelt's letter of June
13, 1902, gives an interpretation of the rules which completely
emasculates the system. That interpretation virtually substitutes
the opinion of the appointing power as the only rule of action in
regard to appointments and dismissals in the unclassified civil
service. Mr. Patterson, of Tennessee, in a speech in the House of
Representatives, thus vigorously and properly denounced the Presi-
dent's attitude as shown by that letter :
"In it is reversed all former interpretations, and as a species of
false reasoning, cloudy statement, and evasion it is to be commended to
those Republicans who are, without pretension, opposed to the law and
as furnishing a salve to their wounds, which Reformer Roosevelt so
unsparingly inflicted in the past.
"No one can doubt that Candidate Roosevelt is now in the proper
frame of mind to accept the advice of the gentleman from Ohio (Mr.
Grosvenor), and suspend the operation of the law altogether, if such
suspension should be thought expedient or necessary."
THE CLARKSON APPOINTMENT.
Mr. Roosevelt's total disregard of the underlying principles of
civil service reform whenever his own interests are involved was also
displayed in the appointment of James S. Clarkson to be Surveyor
of the Port of New York, one of the most important offices in the
country.
Mr. Clarkson's reputation as a practical politician is very
well known. The Civil Service Reform Association in its
annual report for 1903 severely denounces the appointment as
inimical to the progress of reform, and describes the appointee as
one who is "notorious as a spoilsman," and as "a frequent absentee
from his office, engaged in political work in other parts of the coun-
try"
As showing Mr. Clarkson's idea of good government in general
and the merit system in particular, the Washington correspondent of
the Chicago Chronicle, a journal which is a strong supporter of
President Roosevelt, gives some very important information, saying,
•on June 13, 1903 : "Senator Piatt, of New York, and James S.
Clarkson, Surveyor of the Port of New York, called on President
Roosevelt at the White House this morning. . . . Mr. Clarkson
*told the President frankly that, as a friend, he would advise that
the post-office investigation be closed up as rapidly as possible. He
254 Interior Department Scandals.
said it would work great injury to the Republican party." The
Chronicle's correspondent also says that Clarkson is "one of the
President's closest friends," which shows that President Eoosevelt
is not very particular as to the men he employs to do his political
work, and that he is quite willing the taxpayers should pay their
salaries and expenses, though almost entirely employed in partisan
political work.
The "political work" referred to by the Civil Service Eeform As-
sociation was to be done in the personal interest of the President, and
consisted in lining up the negro delegates from the Southern States
to the Republican National Convention in favor of his nomination
for the Presidency. Clarkson often came to Washington before the
convention was held, but did not register at any hotel, lest his pres-
ence should become known to the public. He came usually on
trains from the South and went directly to the home of Postmaster-
General Payne, the President's political manager.
Such appointments as that of Clarkson, considered in connec-
tion with the removal of Miss Todd, a faithful postmistress in
Delaware, because she was "personally offensive to Senator Allee,"
the chief political lieutenant of the notorious Addicks, and with the
monstrous ill-treatment of Thomas W. Gilmer, because "his manner
was offensive" to such men as Auditor Petty, Perry Heath, A. W.
Machen, and other unfaithful public servants, are very extraor-
dinary actions to come from a President who is an avowed oppo-
nent of that system which he himself has characterized as "foul
government and dishonest politics."
INTERIOR DEPARTMENT SCANDALS.
LAND FRAUDS.
Official corruption in the Interior Department is widespread;
it involves the General Land Office and the Indian Bureau, and
covers perhaps every State in which there is public land, and is
quite as much in need of investigation as the more notorious
corruptions in the Post-Office Department. A former Repub-
lican Member of the House of Representatives from Minnesota,
Mr. Heatwole, said in his newspaper, the Northfield News, July
10, 1903:
"All the corruption and rottenness in Washington is by no
means located in the Post-Office Department. Why not give Hitch-
cock's department an airing? Some of the bureaus are reeking
with carelessless, favoritism and absentmindedness. Clean the
stables."
There is much evidence of fraud, especially in the Land De-
partment, which has been secretly under investigation since No-
vember, 1902. During that month the Federal Grand Jury in
Omaha, Neb., was investigating wholesale frauds, involving some
Interior Department Scandals. 255
of the wealthiest men in western Nebraska; but no one was in-
dieted, as political pressure in their behalf appears to have been
too strong. In the Washington Post, November 27, 1902, was
published a special telegram from Chicago, which, after saying
that the Grand Jury at Omaha was investigating the wholesale
land frauds, added that Col. John S. Mosby, the special agent of
the Land Department, who was sent to inquire into alleged frauds,
was interviewed in that city, and said :
"When I began the investigation, Senator Dietrich sent me a
personal letter requesting me to come to Hastings and see him
on a matter of importance. Hastings is three hundred miles away
from my headquarters at Alliance, and I wrote to the Senator that
if he had anything to say to me to send it on paper, as I was un-
able to get away.
"Then Senator Millard wrote to me, requesting me to come to
Omaha. As I was to go to Omaha to see the District Attorney
soon, I told the Senator I would call on him. When I reached
Omaha, Senator Millard requested me to suspend the enforcement
of the law prohibiting the fencing of public lands. I told him I
could not do that, because it was something the President of the
United States was not authorized to do. He sent a message to
the Department of the Interior requesting that I be called to
Washington to discuss the violations in western Nebraska.
"The land barons have made use of soldiers' widows, inducing
them to secure homesteads. When the entries have been made,
the women were paid $75 for their work. My predecessor took
steps to prove the entries were false. The barons did not care for
that, as nothing was done about the fencing. It was calculated
that it would take two years to cancel the fraudulent entries, and
that as soon as they were canceled others would be filed. In this
way the barons expected to have tenure of the land for several
years."
The article also said:
"In addition to involving the cattlemen, scores of soldiers*
widows may be charged with perjury and also be drawn into the
inquiry wherein the cattle barons have been accused of conspiracy.
The inquiry of Col. Mosby already has resulted in the removal of
Special Agent W. R. Lesser, who failed to enforce the law, and
apparently remained inactive at the instance of the cattlemen
and the two United States Senators."
The dispatch adds:
"Col. Mosby left to-night for Omaha, where he will aid District
Attorney W. S. Summers to force the cattle barons to act. The
movement on the part of Mr. Summers to secure indictments
against the cattlemen has resulted in a vigorous fight being made
on him. His term is about to expire, and he is candidate for reap-
pointment. He is opposed by two United States Senators, it is
said, largely because of his action in the land frauds." (He was
not reappointed.)
The work of the grand jury appears to have come to naught,.
256 Interior Department Scandals.
for it is not reported that indictments were found against the
cattle barons, for on May 10, 1903, a dispatch to the Omaha
World Herald from Washington said:
"The best authority claims that the Government has dropped
the question of fence removal on the grazing lands of the public
domain in Nebraska for some time to come. At least the interests
of the cattle barons will not be interfered with until after the
next presidential election.
"Col. Mosby, the Confederate guerilla, who, as an agent for
the Department of the Interior, caused so much anxiety to the
Nebraska cattlemen in removing their fences several months ago,
has been entirely relieved of fence razing and sent to Alabama,
where he is now making an investigation of timber lands.
"His withdrawal from Nebraska, so it is claimed, was the result
of the urgent demand of Senator Dietrich, Senator Millard, and
the Nebraska Cattlemen's Association. It was made plain to
the Administration that if Col. Mosby was allowed to
continue his operations in nebraska the cattle interests
would defeat the Eepublican ticket in 1904. This was prac-
tically admitted by Col. Mosby when recently in Washington as
the reason of his discontinued operations in Nebraska."
Thus it is seen that the cattle barons were politically powerful
enough to squelch the investigation. Their monopolizing of the
public domain with wire fences prevented settlers from going on
the land and acquiring homesteads. The enormous extent of the
area of land enclosed with these fences is shown by the last report
of the Commissioner of the General Land Office, who says:
"There is a large increase in the total number of supposedly
fraudulent land entries over the preceding year. * * * Dur-
ing the year there were reported 125 unlawful in closures of public
land, covering an area of 2,605,390 acres. Seventy-nine of these
inclosures have been removed, and proceedings are pending to com-
pel the removal of the remainder." He adds, however, "that the
total number mentioned is only a fraction of the inclosures main-
tained in violation of the law."
It is also certain that when the investigation ceased, the cattle
barons immediately rebuilt most of the fences removed.
TIMBER LAND FRAUDS.
But the land frauds in the States above mentioned are not the
only ones, by any means, for in Oregon and other Pacific States
there was a systematic attempt to gobble all the most valuable
timber land, and there was an increase in the entries amounting
to about 140,000 acres in the course of three months. The Wash-
ington Post of April 26, 1903, in giving an account of these
frauds, said: "When hints of it first reached Secretary Hitch-
cock, he called upon Commissioner Hermann of the General Land
Office for information. The results were very unsatisfac-
tory/'' Mr. Hermann later was forced to resign, and his suc-
cessor, Mr. Richards, ordered an examination. If the special
Interior Department Scandals. 257
report of Special Inspector Green could be obtained from the
Interior Department, it would, it is said, show official complicity
in some of the scandals, but the officials refuse to divulge it.
The land frauds extend into the States of Oregon, Washington,
Idaho, Montana, Nevada, California, Nebraska, Kansas, Alabama,
Louisiana, Indian Territory and New Mexico.
In Oregon sixteen indictments were found by the United States
Grand Jury April 2, 1904, and Secretary Hitchcock, according to
a press report of October 29, stated, "There will still be many
more." On December 9, 1903, the Washington Post said:
"The Interior Department has suspended Thomas McNutt, a
special agent of the General Land Office, recently on duty in
Oregon, as a result of the investigation of the public land frauds
in Oregon. McNutt was appointed about a year ago from In-
diana, and was formerly a member of the'Eepublican State Cen-
tral Committee. He has telegraphed friends here that he does
not understand the reason for his suspension.
"The suspension was recommended by Inspector A. E. Green,
in a report on the investigation of the frauds in Oregon. His re-
port intimated that a prosecution in the courts might follow."
There were some indictments found against the land thieves
in other States, but the names were not made public by the Interior
Department, except that on November 14, 1903, it was announced
that in northern California four defendants had been convicted
of subornation of perjury in taking up timber lands.
On November 2, 1903, Secretary Hitchcock gave out a state-
ment denying that the land frauds were as extensive as had been
claimed, but admitted that "several hundred thousand acres of
public land were involved."
The only conviction of importance, however, was in Oregon,
where Charles Cunningham, known as "the Eastern sheep king,"
was sentenced to pay a fine of $5,000. His accomplices were let
off with fines of $100. None of them was sentenced to a term
of imprisonment. The land thieves will hardly be deterred from
future operations, when they find that small fines are the only
punishment inflicted, for the $5,000 fine imposed on Cunningham,
who is reputed to be worth millions, is much less in proportion
than the $100 fines that he doubtless had to pay for those who had
aided him in the frauds.
Since that time there has been a suspicious lull in the prose-
cutions, though Secretary Hitchcock said nearly one year ago
that the work was nearing completion. Neither have any of those
•of "influential character," other than Cunningham, been con-
victed, nor can it be learned that indictments have been found
against such.
The possible effect of these frauds on the Presidential campaign
■seems to have led to a cessation of activity by the Administration
^ntil "after election," perhaps, as with some of the principal of-
258 Interior Department Scandals.
fenders in the Post- Office frauds, the delay may lead to the statute
of limitations allowing those of "influential character" to escape
altogether.
INDIAN TERRITORY SCANDALS.
Ever since the reorganization of the Dawes Commission, when
Tarns Bixby was appointed president of the Commission, there had
been constant rumors of scandals in connection with the allotment
system of the Indian lands.
Direct charges against the administration of affairs in the
Indian Territory were made by Samuel M. Brosius, special agent
of the Indian Rights Association, early in 1903, and President
Roosevelt appointed Charles Bonaparte and Clinton Rogers
Woodruff to investigate the conditions in Indian Territory. Their
report was made public March 4, 1904, and it sustained, in the
main, the Brosius charges. Amongst other findings, the Commis-
sion found:
"The allegations of Mr. Brosius respecting the ownership of
stock in corporations doing business in Indian Territory by three
members of the Commission of the five civilized tribes (the Dawes
Commission) and other Federal officers were shown to be accu-
rate. Mr. Tarns Bixby, one of the commissioners, was identified
strongly with this corporation."
Even Republican newspapers like the New York Sun demanded
that the Commission be abolished. In its issue of May 14, 1904,
the Sun said :
"The charges made last August by S. M. Brosius against some
of the members and employees of the so-called Dawes Commission
on account of their personal dealings with the Indians have been
sifted thoroughly by Charles Joseph Bonaparte and Clinton Rogers
Woodruff.
"President Tarns Bixby, of the Commission; Commissioners
Clifton R. Breckinridge and Thomas B. Needles, and Indian In-
spector J. George Wright, were all found to be interested in cor-
porations dealing more or less extensively in Indian lands. It ap-
pears that none of them were engaged in unlawful practices, but
the investigators think that Mr. Breckinridge's investment in such
corporations 'has seriously impaired the public usefulness/ Pres-
ident Bixby's interest in the corporations 'should be terminated
without delay/ It should be 'officially suggested' to Commis-
sioner Needles and Inspector Wright that they sell out."
This advice does not seem to have been accepted by the Adminis-
tration, and there appears to be the same determination to smother
all investigation and keep from the public all information of the
scandals possible for fear it will "hurt the party."
Tarns Bixby was at the time of his appointment to the Dawes
Commission Chairman of the Republican State Committee of Min-
nesota, and for some years has been actively engaged in political
management in that State. Although Messrs. Bonaparte and
Woodruff recommended that President Roosevelt require Bixby to
The Executive Pension Order. 259-
sever his connection either with the trust company or the govern-
ment, no action seems to have been taken.
Charges were made to Secretary of the Interior previous to July
1, 1903, alleging the mismanagement of the Creek Indian Agency,
and Clarence B. Douglas was dismissed from the employment at
the Muscogee Agency "for the good of the service," and was re-
fused an investigation.
On August 24, 1903, Benjamin H. Colbert, United States Mar-
shal for the Indian Territory, was arretted charged with using his
power for political purposes. Letting prisoners out of jail that they
might vote was one of his pleasing pastimes; imprisoning Indians
for not voting according to his wishes, another. These discharges
and arrests by the Government did not, however, lead to a general
uncovering of the land ring which has sought to profit by the
allotment system, and no other information has been given to the
public.
The almost universal charges of corruption against the govern-
ment officials in Indian Territory would indicate that the Ke-
publican machine had dumped its most worthless and grafting par-
tisans from all the States upon the unfortunate Indians and the
numerous citizens of the United States who have made their homes
there.
There is also on file in the Department of Justice a report made
by Special Examiner Chalmers — since deceased — regarding the rot-
tenness of the officials of the government connected with the De-
partment of Justice in the Territory. It is said at one town,
Sapulpa, the United States Commissioner, the Deputy United
States Marshal and the constable are all charged in this report
with serious crimes and that these charges are supported by rep-
utable citizens, but the report is kept secret by the department and
no steps appear to have been taken to remove or punish the
offenders.
THE EXECUTIVE PENSION ORDER.
On the 15th of March, 1904, Mr. E. F. Ware, Commissioner of
Pensions, submitted to Secretary Hitchcock, of the Interior De-
partment, the draft of an order which, omitting the preamble, is as
follows :
"Ordered, 1. In the adjudication of pension claims under the act of
June 27, 1890, as amended it shall be taken as an evident fact, if the
contrary does not appear, and if all other legal requirements are prop-
erly met, that lohen a claimant has passed the age of 62 years, he is dis-
abled one-half in ability to perform manual labor, and is entitled to be
rated at $6 per month; after 65 years, at $8 per month; after 68 years,
at $10 per month; and after 70 years, at $12 per month.
"2. Alloioances at higher rate, not exceeding $12 per month, will be
continued as heretofore when disabilities, other than age show a condi-
tion of inability to perform manual labor.
260 The Executive Pension Order.
"3. This order shall take effect April 18, 1904, and shall not be deemed
retroactive. The former rules of the office fixing the minimum and max-
imum at 65 and 75 years, respectively, are hereby modified as above."
On the same day Secretary Hitchcock approved the foregoing
order; and it is admitted by the President's friends that all this
was done with the approval of Mr. Koosevelt himself, and was a part
of his "policy."
The questions by Mr. Williams, of Mississippi, and answers by
Mr. Grosvenor, of Ohio, while the subject was under discussion in
the House of Representatives, plainly show that both Republicans
and Democrats regarded the Order as a usurpation of legislative
power :
"Mr. Williams. Is not this the case — that we appropriate a cer-
tain amount of money, or so much thereof as may be necessary, and
what we mean by that is, so much as may be necessary to carry out
and execute existing law?"
"Mr. Grosvenor. That is correct."
"Mr. Williams. If by any executive legislation the amount
made necessary by existing law is made larger, is not that a usurpa-
tion of legislative power?"
"Mr. Grosvenor. I think so. I think everybody would say
that."
See the Congressional Record, 58th Congress, 2nd Session, p.
4763.
The law of 1890, section 2, puts every case on its individual
merits, and leaves it to the person appointed to try the case, to de-
termine when due proof of the fact of disability is made in each
particular case. But the Order dispenses with proof of the fact
of disability, whenever the applicant, who is under the law required
to make it, shall have reached the age of sixty-two years. This
amounts to a suspension and nullification of existing law by an
executive order; for the law stands unrepealed and unmodified on
the statute book. A ministerial officer, as such, has no authority
to make any regulation dispensing with the taking of proof. That
is a legislative function, and has always heretofore been exercised
by Congress; as in the Act of March 3, 1885, when Congress en-
acted "That all applicants for pensions shall be presumed to have
had no disability at the time of enlistment, but such presumption
may be rebutted"; and in the Act of March, 1896, when it enacted
that continued and unexplained absence of an enlisted man or of-
ficer from his home and family for seven years, during which
period no intelligence of his existence had been received, should
create the presumption that he was dead; and, again, when Con-
gress enacted that loss of the sight of both eyes, or the loss of both
hands or both feet constituted total permanent disability. Con-
gress has not the right under the Constitution to delegate legisla-
tive power to any ministerial or judicial officer ; and such officers
derive no legislative power from any provision of the Constitution,
which separates the legislative, executive, and judicial functions.
Mr. Grosvenor, Mr. Dalzell, and other Republican leaders in the
The Executive Pension Order. 261
House, acting in line with their partisans in the Senate and the
Executive Department, maintained that any Department had the
right to interpret the law as it chose, even so far as to originate,
establish, change, or abrogate any rule of evidence whatever.
That this order was not an interpretation is conclusively shown
by the third paragraph, which says, "This order shall take effect
April 18, 1904, and shall not be deemed retroactive."
Mr. Grosvenor, having admitted, as we have seen by his answer to
Mr. Williams, that the order amounted to "a usurpation of legisla-
tive power," and having plainly declared that "no such order as
that could be issued by any Department without the approval of
the President," still attempted to justify and uphold it on the
ground that it was "a sensible, intelligent" usurpation.
These novel and dangerous doctrines were strongly combated by
the Democrats of the House, as well as by the Senate Democrats.
All of them took the ground that the Order amounted to an inva-
sion and usurpation, by the Executive, of the powers vested by the
Constitution in the legislative Department of the Government ex-
clusively, and that it was especially an invasion and abrogation of
the powers of the House of Representatives relating to revenues
and expenditures.
Mr. Coekran, of New York, introduced, and in a masterly speech
supported the following resolution:
House resolution No. 278:
"Resolved, That the Committee on tne Judiciary be instructed to in-
quire and report to the House whether, in the opinion of said commit-
tee, there is any authority of law for a recent order of the Secretary
of the Interior to the effect that all persons who served in the Army or
Navy of the United States during the war of the rebellion and who have
reached the age of 62 years shall be presumed to have incurred such dis-
abilities as to entitle them to receive pensions under the act of Con-
gress approved June 27, 1890; and if no such authority be found to ex-
ist, the said committee is instructed to report whether the issue of such
order amounts to a usurpation or invasion by the Executive of the pow-
ers vested by the Constitution in the legislative department of the Gov-
ernment, and what steps, if any, should be taken to vindicate the con-
stitutional authority of Congress, and particularly of this House, over
tne raising of revenues and the expenditure thereof."
This resolution was tabled by a solid Republican vote.
Later, when the deficiency bill was under consideration in the
House, Mr. Moon, of Tennessee, exposed the false attitude of the
Republicans by offering an amendment to the General Deficiency
bill, making all three sections of the Order a part of that bill, and
thus forcing their hand in such a way as to make them show
whether they wanted the change made by the order as a law, or
only as an executive regulation in violation of law ; so that, as such,
it might serve to forestall the passage of a service pension bill
founded on the principle of equality and justice, which should
supply the defects of the existing system, under which officers
and favorites secure excessive pensions while the rank and file get
little.
The Moon amendment was ruled out on the point of order, as
262 Financial Legislation by Executive Decree.
"not germane." There was an appeal from this ruling, but the
Republicans voted to sustain it, and $1,500,000 was appropriated
in the Deficiency bill to carry into execution an order made mani-
festly in violation both of the Constitution and the Statutes.
FINANCIAL LEGISLATION BY EXECUTIVE DECREE.
On September 25, 1902, Secretary Shaw misconstrued and mis-
applied the provisions of law which authorized him to "designate
one or more depositories in each state for the safe-keeping of the
public money collected by virtue of the internal revenue laws"
(K. S., Sec. 3211), and "to designate national banks as such de-
positories of all public money 'except receipts from customs'" (R.
S., Sec. 5153). These provisions did not authorize loans of money
to banks, but were intended only to allow the revenue collectors
to deposit their collections for safe-keeping until such moneys could
be transferred to the Treasury or to some sub-treasury. Yet by an
"emergency construction" the Secretary perverted these provisions
in such a way as to place -large sums of public money in the banks
of New York and other cities, virtually as loans without interest.
In his decree of September 25 the Secretary held that while
money which had once been paid into the Treasury, or into any sub-
treasury, could not lawfully be withdrawn therefrom and deposited
in any bank, yet internal revenue and miscellaneous receipts,
amounting to some half a million dollars a day, or $182,500,000
a year, might lawfully be deposited in banks selected by the Secre-
tary, at his own unbridled discretion, and allowed to remain in them
as iong as he chose.
In this way certain favored banks were filled with public money
and allowed to use it without interest, so that on the 5th day of
December, 1903, just two months and ten days after Secretary
Shaw's decree was made, these national bank depositories held to
the credit of the Treasurer of the United States $158,614,757.
Having done this Secretary Shaw issued another decree, Septem-
ber 30, 1903, by which he suspended and, in effect, repealed the law
requiring every bank designated as a depository of public money "to
have at all times on hand, in lavjful money of the United States,
an amount equal to at least twenty-five per centum of the aggregate
amount of its notes in circulation, and of its deposits" (R. S., Sec.
5191), and also the law requiring all such national banks "to give
satisfactory security by deposit of United States bonds and other-
wise, for the safe-keeping and prompt payment of public money
deposited with them" (R. S., Sec. 5153).
This last decree disclosed the real design of the whole scheme,
which was to allow the banks to hold and use the public money, not
only without interest, but also without giving lawful security for its
safe-keeping or "prompt payment/'
Financial Legislation by Executive Decree. 263
Secretary Shaw in attempting to justify these decrees disregarded
both reason and precedent by holding that the words "United
States bonds and otherwise/' which occur in Section 5153 of the
Revised Statutes, imply that other bonds may be received in lieu of
"United States bonds/' and that when such other bonds had been
deposited as security, he would no longer require the national banks
to hold a reserve of 25 per cent, in lawful money against govern-
mental deposits, but would regard their deposits of "bonds" —
"United States bonds," or other "bonds — as sufficient security under
the law, and would accept State and municipal bonds for that pur-
pose; entirely ignoring Section 5191, which requires depositories of
public money to keep a reserve fund in lawful money. Section
5191 does not repeal Section 5153, or even modify it, except by
adding another safe-guard against the loss of public funds held by
the banks. The two sections are cumulative, and must obviously be,
and always had previously been, construed together, as one law re-
quiring two kinds of security —
First, "by the deposit of United States bonds," as required
by Section 5153; and
Second, "by keeping on hand, at all times, in lawful
money of the united states, an amount equal to at least
twenty-five per centum of the aggregate amount of its
notes in circulation, and of its deposits," as required by
Section 5191.
The language of Section 5191 being thus substituted for the
words "and otiierwise" the true intent and meaning of the law is
perfectly manifest. Nobody ever before dreamed that those words
could be so twisted as to give to the Secretary of the Treasury any
authority or pretext to dispense with the security for public money
required by the 25 per cent, reserve clause, or to nullify the clause
requiring the deposit of "United States bonds/' as distinguished
from other kinds of bonds. But this wise law, precisely designed
by Congress to prevent over-speculation and resultant bankruptcy
on the part of banks holding Government deposits in trust, was
wilfully set at naught in order to facilitate, at the risk and expense
of the Treasury of the United States, those very evils.
The official report of the Treasurer of the United States for
1902 contains the following statement with reference to the ac-
ceptance of State and City bonds in lieu of United States
bonds :
"Under a ruling of the Secretary of the Treasury, the Depart-
ment since October 1, 1902, has received from national banks ten-
dering them, State and City bonds, as a part of the security for
deposits of public funds, to release United States bonds, which were
at once transferred to secure circulation. To November 15, State
and City bonds were thus substituted to the amount of $20,338,-
500."
If these operations had not been sufficient to save the banks which
had loaned their depositors money too freely and on insufficient se-
curity, there could be no reasonable doubt that a much larger
264 Financial Legislation by Executive Decree.
•
amount of State and Municipal bonds would have been accepted iu
the same Vay ; nor is it unreasonable to suppose that the design of
the Aldrich bill, which was to place the entire customs receipts at
the disposal of the Secretary of the Treasury for the use of the banks
at nominal interest and adequate security, would have been accom-
plished by a mere Departmental ruling, in violation of existing law.
Financial legislation by executive order, jeopardizing the public
credit, the public funds, and the public safety, and abrogating the
Constitutional and statutory laws of the land, is the established
policy of the present Administration, emphasized by these rulings
and by the operations effected under them.
NATIONAL IRRIGATION A DEMOCRATIC POLICY.
THE NEWLANDS IRRIGATION ACT,
"iWe favor an intelligent system of improving the arid lands of the
west, storing the waters for the purpose of irrigation, and the hold-
ing of such lands for actual settlers." (Democratic National platform
of 1900.)
"Whereas, the Democratic platform of 1900 declared as follows: 'We
favor an intelligent system of improving the arid lands of the west,
storing the waters for the purpose of irrigation, and the holding of such
lands for actual settlers'; Now, therefore,
"Resolved, by the Democratic Congressional Committee, that we re-
gard the pending bill for the irrigation of the arid lands of the west,
which devotes the proceeds of the sales of public lands in the arid and
semi-arid states and territories to the construction of storage and irriga-
tion works, and makes each project self -compensatory by fixing the cost
on the lands to be reclaimed, to be repaid by the settlers in ten annual
installments, and also reserves the land so reclaimed for actual settlers
and homebuilders, as complying with the pledge contained in the National
Democratic platform, and we therefore favor the passage of said bill as
a needed step in the line of domestic development."
(Resolution Democratic Congressional Committee, June, 1902.)
"We congratulate our western citizens upon the passage of the law
known as the Newlands Irrigation Act for the irrigation and reclama-
tion of the arid lands of the west — a measure framed by a Democrat,
passed in the Senate by a non-partisan vote, and passed in the House
against the opposition of almost all the Republican leaders by a vote, the
majority of which was Democratic.
"We call attention to this great Democratic measure, broad and com-
prehensive as it is, working automatically throughout all time without
further action of Congress, until the reclamation of all the lands in the
arid west capable of reclamation is accomplished, reserving the lands re-
claimed for homeseekers in small tracts and rigidly guarding against
land monopoly, as an evidence of the policy of domestic development
contemplated by the Democratic party, should it be placed in power."
(Democratic National platform, 1904.)
Has the Democratic party carried out the pledges made in its
platform of 1900?
On the 17th day of June, 1902, an Act of Congress was approved,
providing for the construction of irrigation works and the reclama-
tion of arid lands, and containing the following principal pro-
visions :
First. — A reclamation fund in the treasury, consisting of all moneys
received from the disposal of public lands in sixteen arid and semi-arid
states and territories.
Second. — Investigation and report as to irrigation projects by the in-
terior department through the geological survey.
Third. — After the approval of such reports by the secretary of the
interior construction to commence under contracts made by him. No
contract to be made unless the money necessary for the completion of
the project is available in the reclamation fund.
Fourth. — Compensation to the fund of the actual cost of each proj-
ect by the sale of water rights, to be made in a series of installments
running over ten years.
Fifth. — The holding of the public lands for actual settlers under the
266 National Irrigation a Democratic Policy.
homestead act; holdings to be limited to small areas, sufficient for the
support of a family; no commutation.
Sixth. — Sale of water rights to private land holders, but not more
than 160 acres, thus discouraging land monopoly and promoting the break-
ing up of large tracts.
Seventh. — The ultimate control of irrigation works, except reservoirs,
by the settlers under a system of home rule.
Under this Act five great irrigation projects, in as many differ-
ent states and territories, have been actually commenced and others
are contemplated. The Reclamation Fund now is over $25,000,000,
derived from the sales of public lands and applicable to irrigation
works. This fund is a revolving fund, being constantly replen-
ished from the sale of the lands reclaimed. National irrigation
will create homes for millions of men in the west, and it is possi-
ble for thirteen states and three territories to realize the fullest
development of their natural resources in the early future. The
success of the bill is established.
Taking advantage of the fact that the bill was passed by a Con-
gress, both branches of which were Republican, and was signed by
a Republican President, it was contended in the Congressional
campaign following its passage by the Republican press and by
Republican speakers that it was a Republican measure; that it
was inspired by Mr. Roosevelt; that the West owed him and his
party a debt of gratitude for it; that its administration, was in
Mr. Roosevelt's hands. This contention was maintained by the
Republican campaign-book of 1902, and in the recent Republican
platform that party claims the entire credit for putting this legis-
lation on the statute books.
The claim is without foundation.
National irrigation is a Democratic policy, framed by a Demo-
cratic Representative, carried by Democratic votes over the oppo-
sition of the great Republican leaders in Congress. When the Re-
publican President advocated such legislation in his message, and
affixed his signature to the bill after its passage, he merely endorsed
a Democratic measure which his party leaders had vainly endeav-
ored to defeat. These facts become plain upon the simplest re-
view of the history of the measure.
INTRODUCTION OF THE BILL.
Up to January 26, 1901, every effort to unite the friends of ir-
rigation on a practicable policy had met with failure. Differences
existed as to the form of legislation and local jealousies prevented
union upon appropriations for any specific project, while the East
refused to recognize what it regarded as a proposition to pay taxes
for the benefit of the West, and to create competition with eastern
farms. With a divided West and a hostile East the hope of national
aid for the reclamation of arid lands seemed vain, and the great
consummation utterly remote. Such was the situation up to Jan-
uary 26, 1901. Upon that date Francis G. Newlands, then Repre-
sentative but now Senator from Nevada, introduced a bill framed
on new lines, though some of its features were suggested by earlier
National Irrigation a Democratic Policy. 267
bills framed by Shaffroth and Bell, of Colorado, who were also
Democrats. Instantly this bill was recognized as "daybreak" by
the friends of the cause throughout the United States. Its charac-
ter was such that western men could unite upon it and that
eastern men could urge no valid objection. The bill attracted wide
public attention, and was discussed in the press of the entire coun-
try. It was generally spoken of as the "Newlands Bill."
After its introduction by Mr. Newlands it was immediately
presented to a meeting of leading western senators and representa-
tives, regardless of party, Democrats, Republicans and Populists,
and received their approval, and on motion of Senator Pettigrew,
they requested Senator Hansbrough, chairman of the senate com-
mittee on public lands, to introduce it in the senate. This Senator
Hansbrough did, with some slight modifications, on the 30th day of
January, 1901. Hearings went on before committees of Congress,
and it was soon evident that the .solution of one of the greatest
problems of the times had been found. The great principles em-
bodied in the original Newlands Bill were accepted by Congress and
the country. It only remained to perfect the measure. This was
done by numerous hearings and conferences.
At the hearing of the House Committee on the irrigation of
public lands on January 28, 1901, above referred to, Mr. Newell,
chief hydrographer then and now chief engineer of the reclamation
service, appeared and made a lengthy statement regarding the va-
rious forms of legislation, and after an exhaustive review of the
Newlands Bill and commending it as the most practicable measure
then before Congress, he said:
"Mr. Newlands' general bill has been so worded as to avoid striking
on all the snags which are impeding the progress of the development
and reclamation of the arid lands. * * * "
Mr. George H. Maxwell, Chairman of the Executive Committee
of the National Irrigation Congress, well known for his devotion
to the cause of irrigation, also appeared before the committee at
the hearing of January 28, 1901, and urged the acceptance of the
Newlands Bill. The following brief quotations are taken from his
published remarks:
"The bill to which Mr. Newlands refers and a copy of which I have
seen seems to me to obviate the objection that the East would be taxed
for the benefit of the West. * * * * But coming back to the New-
lands Bill, there is no doubt that as to large areas of country * * *
it is a perfectly feasible and sound proposition."
In a debate with Congressman, now Attorney- General Moody, on
January 30, 1901, Mr. Newlands went into a full exposition of his
bill, and urged the immediate commencement of construction work
under it. The following colloquy took place :
Mr. Newlands. Well, I ask the gentleman whether he is in
favor of carrying out that declaration of his own party platform?
Mr. Moody of Massachusetts. Not yet, Mr. Chairman.
Mr. Newlands. Not yet! Postponement! How long?
?68 National Irrigation a Democratic Policy.
Mr. Moody of Massachusetts. Well, until I am convinced that
the platform in that regard was right.
In a running debate with Mr. Moody, Mr. Hill of Connecticut,
and Mr. Cannon, the present speaker, Mr. Newlands again went
into a full exposition of his bill, and demanded that the Republican
party unite with the Democratic party in carrying out its plat-
form pledges upon the subject of irrigation. The following col-
loquy took place :
Mr. Newlands. We propose to stand by our platform. The
gentleman proposes to repudiate his. Now, the gentleman am-
plified on it in his previous speech, stating that the very purpose
of this platform was to secure the support of those thirteen States
or more in the arid-land region of whose contracted population he
complains. I ask if that was the purpose?
Mr. Cannon. I was not in the convention that adopted the plat-
form, nor was I in your convention. In my judgment the pledge
of the platform would be substantially the settlement by Congress
by the legislation I have indicated, (cession of arid lands to the
states). IF IT WOULD NOT BE, THEN I WOULD NOT
STAND BY THAT PLANK IN THE PLATFORM.
The San Francisco "Chronicle" of February 7, 1902, quotes
Representative Cannon as follows, showing that his attitude of
opposition to national irrigation remained unchanged :
"I shall do whatever I can to defeat irrigation legislation. It is
dangerous to countenance these private grabs from the national treas-
ury. I have always been willing to turn over the lands to the states
themselves, but this bill and all bills framed to get the federal govern-
ment committed to expenditures I shall do my best to head off!"
Further on in the same debate, Mr. Newlands inquired whether
Mr. Cannon, as one of the leaders of the House and one of the
committee on rules, would favor its consideration before Congress
adjourned, to which Mr. Cannon replied: "There are about ten
days left of this session. ... I will not seek to sidetrack
the House on this issue at this time."
All this occurred at the short session of the Fifty-sixth Congress
before Mr. Roosevelt succeeded to the Presidency. Before this
took place the Newlands Bill had been framed, had been dis-
cussed generally by the newspapers of the country and approved,
particularly by the wrestern press, and had received the approval
of the committee on public lands of the Senate under the chair-
manship of Senator Hansbrough, and of the committee on irri-
gation of the House. Its consideration was prevented by the short-
ness of the session, as Congress adjourned on the 4th day of March,
1901.
AFTER PRESIDENT ROOSEVELT'S SUCCESSION.
After Mr. Roosevelt became President, on the opening of the
Fifty-seventh Congress, Representative Newlands and Senator
Hansbrough again introduced substantially the same bill, — Mr.
Newlands on December 2, 1901, and Mr. Hansbrough on Decern-
National Irrigation a Democratic Policy. 269
ber 4, 1901. The President's recommendation was upon
the lines of this bill, which had received the general sup-
port of the west and of western senators and representatives;
and a meeting was immediately called of the western senators and
congressmen and a special committee of seventeen appointed to re-
port a bill which would unite the west, which, however, was not ac-
complished until after two Wyoming Representatives, Senator War-
ren and Congressman Mondell, had tried unsuccessfully to amend
it in ways which would have destroyed its character as a national
and a popular measure; one wanted the reclamation fund to be
expended by the engineering departments of sixteen different
states and territories; the other wanted the nation merely to
store the water and turn it into the streams, where it would be open
to appropriation and sale by individuals, firms and corporations.
These proposals were beaten.
Certain changes, however, were made in the measure as intro-
duced by Mr. Newlands, but they did not change its essential
character. The original Newlands bill of January 26, 1901,
was the broad foundation stone on which the new national policy
was erected; it was a stone taken from the Democratic quarry,
hewn and shaped by Democratic statesmen, prominent in which
work was Shaffroth and Bell of Colorado, and Dubois of Idaho.
The measure as revised by the committee, was submitted to the
western senators and congressmen, and a motion was made au-
thorizing Mr. Newlands to introduce it in the House,
and Mr. Hansbrough to introduce it in the Senate. It passed
the Senate without opposition, but powerful opposition was en-
countered at the hands of the most influential Republican leaders
in the House of Representatives.
REPUBLICAN OPPOSITION.
Here is the way in which the great leaders of the Republican
party "supported" the national irrigation policy when its fate
trembled in the balance at Washington :
Mr. Hepburn, of Iowa: Mr. Chairman, if I were not one of the most
humble and polite men in this House, I would take the liberty of say-
ing that the proposition involved in this bill is the most insolent at-
tempt at larceny that I have ever seen in a legislative proposition.
General Grosvenor, of Ohio: If this scheme can be carried into ex-
ecution, I would not give five cents on the dollar ten years hence for
all the beet sugar stock this side of the Missouri river. What is the
evidence that has been taken this year before the Committee on Ways
and Means? Why, sir, the evidence is that the beet sugar men of Utah,
California and Colorado can manufacture beet sugar almost a cent a
pound cheaper than can be done without the application of irrigation.
In a recent speech reviewing the history of the measure delivered
by Congressman Van Duzer of Nevada on April 27, 1904, he said :
Every democratic leader supported the bill. Every republican leader
spoke and voted against it. Mr. Payne, the chairman of the Committee
on Ways and Means, and the leader of the House ; Mr. Dalzell, of the
Committee on Rules; Mr. Cannon, then the chairman of the Committee
270 The American Merchant Marine.
on Appropriations; Mr. Ray, the chairman of the Committee on Judiciary;
Mr. Grosvenor and Mr. Hepburn, all of them constituting the Republican
leadership of the House of Representatives, aided by other strong and
forceful debaters, opposed the bill vigorously, and in some cases bitterly.
THE VOTE ON THE BILL.
The bill passed in the Senate by a non-partisan and practically
unanimous vote. The final vote in the House was as follows :
FOR.
Democrats 73
Silver 1
Populists 3
Republicans 69
Total 146
AGAINST.
Democrats 13
Republicans 42
Total 55
The evidence is absolutely clear and indisputable. National ir-
rigation is a triumph of Democratic statesmanship, carried over the
opposition of the Republican leaders in Congress, and finally con-
summated with the approval of a Republican President who recog-
nized the wisdom and justice of his political opponents in fram-
ing and passing the law which opens the way for millions to get
homes on the reclaimed public domain.
Democratic statesmanship brought the whole western half-conti-
nent under the American flag. It negotiated the Louisiana Pur-
chase and acquired the territory from Mexico under the treaties
of 1845 and 1853. It stood faithfully by the mining industry in
sunshine and in storm. It initiated and consummated the plan
for reclaiming the deserts and peopling them with men who shall
live free from the exactions of land and water monopoly. And
now the Democratic party solemnly pledges itself to go forward
with the work of internal development.
True to its history and its principles, it stands for the growth
of the Republic at home in preference to the exploitation of em-
pire in distant lands.
THE AMERICAN MERCHANT MARINE.
The Democratic party has ever been the true friend of American
shipping. Under the wise leadership of James Madison, aided j^y
the far-seeing statesmanship of Thomas Jefferson, in the early
years of the republic our shipping became our most prosperous
industry and the mainstay of the nation. From less than twenty-
The American Merchant Marine. 271
five per cent, of our foreign commerce carried in American vessels,
the policy placed on our statutes by the founders of the Democratic
party increased the proportion to above ninety per cent. During
all the years preceding the Civil War an average of seventy-five
per cent, of our entire foreign commerce was carried in American
vessels. During the past forty-three years less than twenty per
cent, of our imports and exports have been carried in American
vessels.
During the last year of the Buchanan administration the Ameri-
can merchant marine reached the high tide of its prosperity, 2,642,-
628 tons of shipping being under American registry in the foreign
trade, while last year American shipping under registry had fallen
to 888,776 tons, a shipping less by nearly 100,000 tons than we had
in the foreign trade in 1810, almost a century ago.
It cannot be said that the decline of our shipping under register
is due to lack of commerce to carry. Our foreign trade is now
more than four times more valuable than it was in 1861, when out
shipping engaged in its carriage was three times greater than now.
Our ships then carried sixty-five per cent, of our foreign trade,
while they now carry eight per cent.
The disappearance of our shipping from the foreign trade is
largely due to the outrageous and unnecessarily high tariff in-
augurated by the Kepublican party and maintained in defiance of
public condemnation. To this high tariff policy and the high cost
of materials used in shipbuilding resulting therefrom is chiefly due
the fearful decline in American shipping during the past forty-
three years.
During the long period preceding the adoption of our high tariff
policy, American shipping in the foreign trade was able — practi-
cally unaided — to compete successfully and profitably with foreign
shipping. In no decade of our history is the record more illumined
with the wonderful growth, superior qualities and high achieve-
ments of American shipping, than during that between 1850 and
.3 860. American ships were as cheaply built and they were better
built than their foreign rivals ; they made an average of three voy-
ages while their foreign competitors were making two ; they carried
their cargo with less damage ; insurance of our ships and their car-
goes was less, even in the ports of Great Britain, where they com-
manded a preference over British ships ; their commanders, officers
and seamen were men of superior intelligence, of marked intrepid-
ity and wonderful skill, and the life of our ships compared favor-
ably with those of other nations, and the care exercised in keeping
them in almost perfect condition was the marvel as well as the envy
of all seafaring people. The presence of an American ship in a
foreign port in the heyday of its greatness — the last great decade
©f Democratic administrations — was an event of great importance,
and the ship was always crowded with admiring visitors. The
fame of American ships was known wherever the waves rolled and
the winds blew, and for grace, beauty, speed, safety and endurance
they were unequalled.
272 The American Merchant Marine.
Contrast the foregoing statement of our maritime conditions
with those of the present ! To-day American ships are all but un-
known in the ports of the world. In most of the ports of the con-
tinent of Europe an American ship is never seen, and of the thou-
sands of ships and millions of tons that pass through the Suez
Canal one under the American flag is the greatest of rarities.
Such, in short, is the low state to which a once great interest, and
industry of vast extent and large profit, has fallen under Republi-
can neglect and misrule.
The Republican party has lacked the courage to apply the pro-
tective policy to our shipping which it believes to be necessary for
its restoration. Its beloved subsidy policy, a policy that would
take millions and tens of millions from the national treasury for
the benefit of a limited number of trust-ridden steamship owners,
a policy so extravagant and withal so uncertain as to its beneficial
results to the nation as to appall some of the more conservative and
less greedy of its followers, has been promised them, but it has
not been given because of the sturdy and unyielding opposition of
the Democratic party, although in a minority. The Republican
party believes in subsidies, because by such a policy, so arranged as
to confer the greatest benefits upon corporations from which the
largest campaign funds can be most easily wrung, the national
treasury may be used to reimburse and still further enrich those
favored beneficiaries, the trust magnates and the millionaires.
The subsidy bill which the Republicans jammed through the
United States Senate on March 17, 1902, carried in its provisions
many millions of dollars annually for rich and powerful owners of
swift steamships, but all vessels under a thousand tons — the small
craft owned by the common people, the small builders, the sail-
makers, the outfitters, the men whose labor constructed them, the
masters, officers and seamen who sail them, their widows and or-
phans of limited means — :all of these were ruthlessly denied any
share in that subsidy lest their competition should possibly give
some annoyance and inconvenience to the trust-controlled steam-
ships. That remnant of our small tonnage which the competition
of heavily subsidized foreign shipping has failed to destroy would
thus be ruined by the large and powerful corporations owning
subsidized American shipping — that was the mockery of assistance
which the Republican party offered to the American owners of
vessels under one thousand tons — subsidies for their larger Ameri-
can competitors, but nothing for the American tonnage owned in
small shares by individuals of moderate means ! Hard as is the lot
of the small vessel owner, limited as are his opportunities for mak-
ing headway against the larger and richer corporations with which
he competes, severe and crushing as are the losses that fall upon
him because of his inability to pay the excessive insurance rates de-
manded by the underwriters whose directorates are filled with the
strongest competitors, it was provided in that infamous Republican
ship-subsidy bill that such feeble competition should no longer be
possible, and that a summary end should be put to a class of ton-
Equal Protection of American Citizens Abroad. 273
nage which develops and nurtures the sturdiest seamen, the very-
flower of courage and skill, most useful as men-of-warsmen, the
most valuable — indeed, the priceless — resource of the navy in time
of need ! Thus, instead of the mercantile marine being the nursery
of our armed navy, the American sailor was to be smothered in his
cradle.
The Democratic party is pledged to restore American shipping,
but not by the exotic and corrupting assistance of the national treas-
ury, not by one-sided subsidies and bounties, not by expedients
which rob the many for the benefit of the few.
EQUAL PROTECTION OF AMERICAN CITIZENS ABROAD.
In April, 1902, the following resolution, introduced by Represen-
tative Goldfogle, of New York, a Democrat, was passed by the
House of Eepresentatives :
Resolved by the House of Representatives of the United States, That
the Secretary of State be, and he hereby is, respectfully requested to
inform this House whether American citizens of the Jewish religious
faith, holding passports issued by this Government, are barred or ex-
cluded from entering the territory of the Empire of Russia, and whether
the Russian Government has made or is making any discrimination be-
tween citizens of the United States of different religious faiths or per-
suasions, visiting or attempting to visit Russia, provided with American
passports; and whether the Russian Government has made regulations
restricting or specially applying to American citizens, whether native
or naturalized, of the Jewish religious denomination holding United States
passports, and if so, to report the facts in relation thereto, and what
action concerning such exclusion, discrimination, or restriction, if any,
has been taken by any Department of the Government of the United
States.
Replying to the inquiry embodied in the Eesolution, Secretary
Hay, in substance admitted that passports held by American Is-
raelites were refused recognition by the Eussian Government.
In July, 1902, President Roosevelt was again urged to take some
action through the diplomatic channels towards effecting a change
of Russia's attitude towards Jewish American citizens presenting
the American passport; yet the Administration took no steps to
correct the abuse.
On April 21, 1904, the House of Representatives passed a further
Resolution, as follows:
That the President be requested to renew negotiations with the gov-
ernments of countries where discrimination is made between American
citizens on the ground of religious faith or belief to secure by treaty or
otherwise uniformity of treatment and protection to American citizens
holding passports duly issued by the authorities of the United States,
in order that all American citizens shall have equal freedom of travel
and sojourn in those countries, without regard to race, creed, or religious
faith.
274 Equal Protection of American Citizens Abroad.
In reporting the Eesolution the Committee on Foreign Af-
fairs used the words "renew negotiations" amending the language
of the Eesolution as originally introduced, but the fact is that nei-
ther the present nor the preceding Eepublican administration had
entered upon any negotiations.
Up to the time that the Eepublican Convention met the Adminis-
tration remained supine. After the passage of the Eesolution
it had been stated in the public press, that Secretary Hay had an-
nounced that he would not "take the matter up," as America was
powerless in respect to it.
Taking alarm at the general sentiment throughout the country
in favor of demanding equal rights for all American citizens travel-
ing or sojourning abroad, without distinction, the Eepublican
party at the Chicago Convention this year, adopted a plank in their
platform as follows:
"We commend the vigorous efforts made by the administration to
protect American citizens in foreign lands, and pledge ourselves to in-
sist upon the just and equal protection of all our citizens abroad. It
is the unquestioned duty of the Government to procure for all our citi-
zens without distinction, the rights of travel and sojourn in friendly
countries, and we declare ourselves in favor of all proper efforts tend-
ing to that end."
•
A careful reading of this in the light of the inaction of the
present Administration upon the subject and of the fact that Con-
gress has already by its unanimous action requested the President
to act, shows the plank to be an insincere one, and to be vague and
temporizing.
The Democratic Convention at St. Louis, following the lines of
the Congressional Eesolution, originated by a Democrat, adopted
the following plank in its platform:
"We pledge ourselves to insist upon the just and lawful protection
ot our citizens at home and abroad, and to use all proper measures to
secure for them, without distinction of race or creed, the equal protec-
tion of laws and the enjoyment of all rights and privileges open to them
under the covenants of our treaties of friendship and commerce; and,
if under existing treaties the right of travel and sojourn is denied to
American citizens, or recognition is withheld from American passports
by any countries on the ground of race or creed, we favor the beginning
of negotiations with the government of such countries to secure by
treaties the removal of these unjust discriminations.
"We demand that all over the world a duly authenticated passport
issued by the government of the United States to an American citizen
shall be proof of the fact that he is an American citizen, and shall en-
title him to the treatment due him as such."
This is plain, vigorous and distinct, and leaves no room for doubt
or misconstruction as to the attitude of the Democratic party on the
subject. The pledge it makes for a Democratic administration is
absolute and explicit.
Whatever communication Secretary Hay may recently have sent
to our representatives abroad on this subject was compelled througti
force of public sentiment, caused by the agitation in Congress on
the Democratic side. In a speech delivered in Congress, Apr'M
Rural Free Delivery. 275
5, 1904, Representative Goldfogle, of New York, referring to the
resolution of April 30, 1902, and the State Department's answer
thereto, said:
"I know of nothing done or attempted by our Government since that
time in the direction of securing an abrogation by Russia of the pres-
ent discrimination between our citizens traveling abroad or of obtain-
ing uniformity of treatment through means of new treaty stipulations."
THE ESTABLISHMENT OF THE DEPARTMENT OF AGRI-
CULTURE AND RURAL FREE DELIVERY.
The Democratic party has an unassailable record for always
favoring legislation that would aid the agricultural interests;
and it would be unnecessary to point out the legislation enacted
for that purpose when the Democrats were in power, but for the
fact that the Republicans now claim that they were the authors
of the most important laws. Three measures of great benefit
to the rural population were inaugurated by the Democrats, while
they were in control of Congress, or in Cleveland's time, namely :
The establishment of the Department of Agriculture; the crea-
tion of the Agricultural Experiment Stations; and the inaugura-
tion of the Rural Free Delivery — all originated under Democratic
rule.
THE DEPARTMENT OF AGRICULTURE.
Under the Republicans, previous to the first administration of
President Cleveland, there was in existence a Bureau of Agri-
culture, which was of but little service to the farmers, and whose
only work seemed to be the annual distribution of seeds in each
Congressional district ; but it was not until the appointment of
Mr. Colman by President Cleveland, in 1885, that the service
was made practical. And in the Fiftieth Congress, Mr. Hatch,
of Missouri, introduced a bill to create the Department of Agri-
culture. The Democrats being in control of Congress, and thus
having the majority of the Committee on Agriculture, to whom
the bill was referred, reported a substitute which was passed and
approved by President Cleveland, February 9, 1889. (See U. S.
Statutes at large, vol. 25, page 659.)
Under this act, Mr. Cleveland appointed Norman J. Colman,
editor of an agricultural newspaper, as the first Secretary of Agri-
culture. Mr. Colman was the head of the Agricultural Bureau be-
fore he was appointed to the Cabinet, and had already organized
the experimental stations in the different States, in conjunction
with the agricultural colleges, and had inaugurated the system
which now prevails.
AGRICULTURAL EXPERIMENT STATIONS.
The bill creating the Agricultural Experiment Stations was in-
trdduced by Senator George, Democrat, of Mississippi, at the first
276 Rural Free Delivery.
session of the Forty-eighth Congress, and was passed and approved
by President Cleveland, March 2, 1897. (See U. S. Statutes at
large, vol. 24, page 440). The vast good these stations have ac-
complished to improve the products of the farms and stock and to
provide for the elimination of destructive insects, is a monument to
Democratic foresight for the aid of agriculture. The claim, there-
fore, of the Republicans, that the Department of Agriculture was
inaugurated by them, is erroneous. Not only was the bill passed
by the Democrats under the first Cleveland administration, but the
whole work of the Department, including the opening of Experi-
mental Stations, was organized by a Democrat, and is carried on
to-day on the same basis.
RURAL FREE DELIVERY.
Among the numerous ^ other misstatements of the Republican
campaign book is the one claiming for that party the origination of
rural free delivery for the benefit of farming communities. There
was no rural free delivery prior to 1892. Postmaster-General Wan-
amaker had recommended its extension to smaller cities and vil-
lages, but had not recommended free delivery to the farming com-
munities.
The first suggestion of that kind was proposed by the Hon. K
F. Livingston, Democratic Congressman from Georgia, when he
offered the following amendment to the Post-Office Appropriation
Bill, on June 22, 1892 :
"Amend line ten, page three, by striking out the word 'six' and in-
serting the word eight, and also after the word 'dollars/ in line eleven,
these words — provided that $200,000.00 shall be used for experimental
free rural delivery outside the towns and villages." (See Congressional
Record, 1st Session, Fifty-second Congress, page 49452.)
That amendment was ruled out on a point of order, and other
similar amendments offered by Democrats met the same fate.
In the following session of the succeeding Congress, February
17, 1893, an amendment was offered by Hon. Thomas E. Watson,
at that time a Democratic member from Georgia, to the Post-
Office Appropriation Bill, providing that $10,000 be expended by
the Postmaster-General as an experiment for rural free delivery
to the farmers. This being a Democratic Congress, the amend-
ment was adopted, and the Bill as amended became a law. Mr.
Harrison was then President, and Mr. Wanamaker Postmaster-
General. The appropriation, however, was not used during their
term of office, nor during the first two years under Mr. Cleveland.
Democratic Congresses, however, continued making appropria-
tions, and in 1895, $20,000 was appropriated for this purpose,
and during the fiscal year 1896-1897, under Postmaster-General
Wilson, a Democrat, the first 84 rural routes were established,
the first route being established in Bartholomew County, Indiana,
in 1896.
In the Record of March 18, 1904^ included in the remarks of
Hon. C. R. Thomas, of North Carolina, will be found a letter
Popular Election of Senators. 277
from Postmaster General Payne, dated February 25, 1904, ad-
dressed to the Hon. L. F. Livingston, House of Representatives,
containing the following:
"Sir: — Replying to your letter of the 18th instant, making
certain inquiries relative to the history of Rural Free Delivery
service, I would refer you to the acts making appropriations for
the postal service for the fiscal years 1893-4, 1894-5, 1895-6, 1896-7,
from which I quote as follows :
"< 1896-1897, for free delivery service, in all, $12,818,-
250 Provided further that $10,000 of this amount may be
used to defray expenses of experiments in rural free delivery, under
the direction of the Postmaster-General, and that the amount here-
tofore appropriated for this purpose, and still unexpended be avail-
able for said experiments/
"During the fiscal year, 84 rural routes were established on the
order of Postmaster-General Wilson.
"Very respectfully,
"H. C. PAYNE, Postmaster-General."
This was, therefore, the inception of rural free delivery to
the farmers. It was originated by a Democrat, first appropriated
for by a Democratic Congress, and instituted by a Democratic
executive. Like all reforms of that kind in the postal service, it
began, of course, in a small way, as an experiment. It was con-
tinued as an experimental service, the appropriations rapidly in-
creasing, received in the House always a practically unanimous
Democratic vote, and several times the appropriations were in-
creased upon the motion of a Democratic member. Having demon-
strated its usefulness to the farming communities, the service was,
two years ago, placed upon a permanent footing.
These facts can be easily gathered from the official records in
the Post-Office Department.
ELECTION OF UNITED STATES SENATORS BY DIRECT
VOTE OF THE PEOPLE.
In the Fifty-eighth Congress there has been no test vote on the
question of electing United States Senators by the people. The
last yea and nay vote bearing on that question was taken June 11,
1902, a little before the last Congressional election. It happened in
this way: House Joint Resolution No. 41, for an amendment to
the Constitution for the election of United States Senators by
direct vote of the people having passed the House of Representatives
without division, and having been pending before the Senate Com-
mittee on Privileges and Elections for six months without any re-
port from the committee thereon, a motion was made to discharge
278 Popular Election of Senators*
the committee from the further consideration of the resolution,
in order that this matter might be brought up for consideration
by the Senate. A yea and nay vote being taken on the motion,
there were 21 yeas and 35 nays, 18 Democrats and three Republi-
cans voting yea, and thirty-five Republicans voting nay.
(See the vote at large in the Congressional Record, vol.
35, p. 6596.) This vote shows the relative positions of the two
parties on the subject. Just before it was taken memorials in
favor of the election of Senators by the people had been presented
from the legislatures of Idaho, Colorado, Michigan, Montana, Ne-
braska, Nevada, Oregon, and Tennessee, and from associations and
citizens in nearly all parts of the country, showing a strong and al-
most universal sentiment in favor of the measure. Many other state
legislatures have within the last eight years presented memorials
in its favor. Nothing but the overwhelming influence of the trusrs
and great special interests which seek to keep as far as possible
from a situation in which the law-making power is directly an-
swerable to the people prevents the party in power from yielding
to the force of public opinion on the subject.
The Democratic platform of the present year, following the ex-
pression contained in previous platforms, has this unqualified
declaration on the subject:
"We favor the election of United States Senators by the direct
vote of the people."
The Republican platform contains no such declaration.
VOTE ON RESOLUTION TO INVESTIGATE POST-OFFICE
DEPARTMENT.
HOUSE RESOLUTION NO. 118.
THE HAY RESOLUTION.
Mr. Hay of Virginia, on January 4, 1904, introduced the fol-
lowing resolution:
"Whereas, Fourth Assistant Postmaster-General J. L. Bristow,
in his report to the Postmaster-General, dated October 24, 1903,
and which report has been transmitted to a committee of this House,
has charged that long-time leases for post-office premises were can-
celed, and the rent increased, upon the recommendation of influ-
ential representatives ;
"And whereas it is charged in the same report that fif a member
of Congress requested an increase in the clerk hire allowed a post-
master, Beavers usually complied regardless of the merits of the
case' ;
"And whereas, certain cases of an aggravated character are cited
on pages 133, 134, 135 of said report to sustain the above charges;
"And whereas, on page 145 of said report, it is charged that
members of Congress have violated section 3739 of the Revised
Statutes; and that cin the face of this statute Beavers has made
contracts with members of Congress for the rental of premises,
either in their own names, the names of their agents, or some mem-
ber of their families';
"And whereas, these charges and others contained in said report
reflect upon the integrity of the membership of this House, and
upon individual members of this House whose names are not men-
tioned : Therefore
"Be it resolved, That the Speaker of this House appoint a com-
mittee consisting of five members of this House to investigate said
charges and in connection therewith any frauds or irregularities in
the conduct of the Post-Office Department; and that said com-
mittee have power to send for persons and papers, and to enforce
the production of the same; to examine witnesses under oath; to
have the assistance of a stenographer ; and have power to sit during
the sessions of the House, and exercise all functions necessary to a
complete investigation of said charges, and to report the result of
said investigation as soon as practicable."
The Speaker, on motion of Mr. Gillett of Massachusetts, ruled
this resolution out of order, on the ground ihat it coupled unprivi-
leged matters with privileged matters.
Mr. Hay then offered the resolution in a new form, striking out
280 Resolution to Investigate Post-Office Department.
the words "and in connection therewith any frauds or irregularities
in the conduct of the Post-Office Department"; so that it should
contain only privileged matter.
Mr. Gardner of New Jersey made the point of order that the
resolution, in its new form, did not contain any privileged matter;
and after some debate, Mr. Hay moved the previous question.
On the adoption of the previous question; p. 456 (January 4,
1904) Yeas 78, all Democrats, except Cooper and Minor of Wis-
consin, Lacey and Wanger. Nays 78, all Republicans. Answered
present 9. Sot voting 218. The point of no quorum was made and
the House adjourned.
Again, on the motion for the previous question on the Hay
resolution, as amended; p. 546 (January 5, 1904). Yeas 104, all
Democrats, except Cooper and Minor of Wisconsin, and Lacey and
Wanger. Nays 111, all Republicans. * Answered "present" 6. Not
voting 162.
On Mr. Payne's motion to commit the preamble and resolution
to the Committee on Post-Office and Post Roads ; p. 547 (January
5, 1904). Yeas 118, all Republicans. Nays 98, all Democrats,
except Cooper, Wisconsin, and Wanger. Answered "present" 5.
Not voting 162.
THE MOON RESOLUTION.
The matter came up again, and was debated on the 7th, 9th and
11th of March, in connection with the Post-Office Appropriation
bill. On March 11, Mr. Moon of Tennessee offered, as a substitute
for the special order made in the House on March 7 for the con-
sideration of the Post-Office Department Appropriation bill, the fol-
lowing resolution :
"Resolved, that the Speaker of the House appoint a committee
consisting of five members of this House, to investigate the conduct
and administration of the Post-Office Department; that said com-
mittee have power to send for persons and papers and enforce the
production of the same, to examine witnesses under oath, to have
the assistance of a stenographer and all necessary clerks, to have
the power to sit during the sessions of the House, and exercise all
functions necessary to a complete investigation of all frauds and
irregularities alleged to exist in the said Department, including
alleged frauds, irregularities, illegalities, and improprieties by
members of Congress in connection with said Department, and
to report the result of said investigation as soon as practicable."
Against this amendment Mr. Overstreet made the point of order
that it was not germane to the pending question. The Speaker sus-
tained the point of order; from this ruling Mr. Griggs of Georgia
appealed, and Mr. Overstreet moved to lay the appeal on the table.
On this motion a yea and nay vote was taken; p. 3293 (March
11, 1904). Yeas 154, all Republicans. Nays 125, all Democrats.
Answered "present" 8. Not voting 96.
The vote in detail was as follows:
Resolution to Investigate Post-Office Department. 281
YEAS— 154.
Adams, Pa.
Davis, Minn.
Jenkins,
Pearre,
Adams, Wis.
Dayton,
Jones, Wash.
Perkins,
Alexander,
Dixon,
Kennedy,
Porter,
Allen,
Dovener,
Ketcham,
Powers, Mass.
Babcock,
Draper,
Kinkaid,
Prince,
Bates,
Driseoll,
Knapp,
Reeder,
Bede,
Dunwell,
Lacey,
Roberts,
Bingham,
Dwight,
Landis, Chas. B.
Rodenberg,
Birdsall,
Esch,
Lanning,
Shiras,
Bishop,
Foss,
Lawrence,
Sibley,
Bonynge,
. Foster, Vt.
Lilley,
Slemp,
Boutell,
Fuller,
Littlefield,
Smith, 111.
Brandegee,
Gaines, W. Va.
Longworth,
Smith, Samuel W.
Brooks,
Gardiner, Mich.
Loudenslager,
Smith, Wm. A.
Brown, Pa.
Gardiner, N. J.
Lovering,
Smith, Pa.
Brown, Wis.
Gibson,
McCall,
Snapp,
Brownlow,
Gillet, N. Y.
McCarthy,
Southard,
Buckman,
Gillett, Cal..
McCleary, Minn.
Southwick,
Burke,
Gillett, Mass.
McCleary, Pa.
Spalding,
Burkett,
Goebel,
McClachlan,
Sperry,
Burleigh,
Graff,
Mann,
Stafford,
Burton,
Greene,
Marsh,
Steenerson,
Butler, Pa.
Hamilton,
Marshall,
Sterling,
Calderhead,
Haskins,
Metcalf,
Sulloway,
Campbell,
Haugen,
Miller,
Tawney,
Cassel,
Hedge,
Minor,
Tirrell,
Connell,
Hemenway,
Morgan,
Town send,
Conner,
Henry, Conn.
Morrell,
Volstead,
Cooper, Pa.
Hepburn,
Mudd,
Vreeland,
Cooper, Wis.
Hermann,
Murdock,
Wachter,
Cousins,
Hill, Conn.
Needham,
Wanger,
Cromer,
Hinshaw,
Norris,
Warnock,
Crumpacker,
Hogg,
Olmstead,
Watson, \
Currier,
Holliday,
Otis,
Williamson,
Curtis,
Howell, N. J.
Otjen,
Wilson, 111.
Cushman,
Howell, Utah,
Overstreet,
Woodyard,
Dalzell,
Hughes, W. Va.
Palmer,
Young.
Daniels,
Humphrey, Wash.Parker,
Darragh,
Jackson, Ohao
Payne,
NAYS— 125.
Adamson,
Cochran, N. Y.
Gregg,
Kitchin, Wm. W,
Badger,
Cooper, Tex.
Griffith,
Kline,
Baker,
Cowherd, .
Griggs,
Klutz,
Bartlett,
Crowley,
Hamlin,
Lamar, Fla.
Bassett,
Davey, La.
Harrison,
Lamar, Mo.
Beall, Tex.
De Armond,
Hay,
Lamb,
Benny,
Denny,
Hearst,
Legare,
Benton,
Dougherty,
Henry, Tex.
Lind,
Bowers,
Emerich,
Hill, Miss.
Lindsay,
Brantley,
Field,
Hopkins,
Little,
Brundidge,
Finley,
Howard,
Livernash,
Burgess,
Fitzgerald,
Hughes, N. J.
Livingston,
Burleson,
Gaines, Tenn.
Humphreys, Miss
s. Lloyd,
Byrd,
Garner,
Hunt,
Lucking,
Caldwell,
Gilbert,
James,
McAndrews>
Candler,
Gillespie,
Johnson,
McNary,
Clark,
Glass,
Jones, Va.
Maddox,
Clayton,
Gooch,
Kehoe,
Maynard,
Cochran, Mo.
Goulden,
Keliher,
Moon, Tenn-.
282 Resolution to Investigate Post-Office Department.
Padgett,
Rixey,
Smith, Tex.
Thompson,
Page,
Robb,
Snook,
Trimble,
Patterson, N. C.
Robertson, La.
Southall,
Underwood,
Patterson, Tenn.
Robinson, Ark.
Spight,
Van Duzer,
Pierce,
Robinson, Ind.
Stanley,
Wade,
Pinckney,
Russell,
Stephens, Tex.
Webb,
Pou,
Ryan,
Sullivan. Mass.
Wiley, Ala.
Pujo,
Sheppard,
Swanson,
Williams, 111.
Rainey,
Shober,
Talbott,
Willams, Miss.
Randell, Tex.
Sims,
Tate,
Wynn.
Ransdell, La.
Slayden,
Taylor,
Richardson, Ala.
Small,
Thayer,
Richardson, Tenn
. Smith, Ky.
Thomas, N. C.
ANSWERED
"PRESENT"-
-8.
Deemer,
Houston,
Rhea, '
Stevens, Minn.
Flood,
Lester,
Smith, Iowa
Van Voorhis.
NOT VOTIJSTGk-96.
Acheson,
Dresser,
Kyle,
Ruckner,
Aiken,
Evans,
Lafean,
Ruppert,
Ames,
Fitzpatrick,
Landis, Frederick Scarborough,
Bankhead,
Flack,
Lever.
Scott,
Bartholdt,
Fordney.
Lewis.
Scudder,
Beidler,
Foster, 111.
Littauer,
Shackleford,
Bell, Cal.
Fowler,
Lorimer,
Sherley,
Bowersock,
French,
Loud,
Sherman,
Bowie,
Garber,
McDermott,
Shull.
Bradley,
Gardner, Mass.
McLiiin,
Smith, N. Y.
Breazeale,
Goldfogle,
McMorran,
Sparkman,
Brick,
Granger,
Macon,
Sullivan, N. Y.
Broussard,
Grosvenor,
Mahon,
Sulzer,
Burnett,
Gudger,
Mahoney,
Thomas, Iowa
Butler, Mo.
Hardwick,
Martin,
Vandiver,
Capron,
Hildebrant,
Meyer, La.
Wadsworth,
Cassingham,
Hitchcock,
Miers, Ind.
Wallace,
Castor,
Hitt,
Mondell,
Warner,
Davidson,
Huff,
Moon, Pa.
Weems,
Davis, Fla.
Hull,
Nevin,
Weisse,
Dick.
Hunter,
Patterson, Pa.
Wiley, N. J.
Dickerman,
Jackson, Md.
Powers, Me.
Wilson, N. Y.
Dinsmore,
Kitchin, Claude
Reid,
Wright,
Douglas,
Knopf,
Rider,
Zenor.
So the motion to lay the appeal on the table was agreed to.
The Clerk announced the following pairs:
For the session :
Mr. Deemer with Mr. Shull. Mr. Hunter with Mr. Rhea.
Mr. Patterson of Pennsylvania with Mr. Sherman with Mr. Ruppert.
Mr. Dickerman.
Until further notice :
Mr. Hitt with Mr. Dinsmore.
Mr. Lorimer with Mr. Mahoney.
Mr. Mahon with Mr. Houston.
Mr. Weems with Mr. Rider.
Mr. Lafean with Mr. Aiken.
Mr. Bartholdt with Mr. Bowie.
Mr. Beidler with Mr. Foster of Til.
Mr. Hildebrant with Mr. Bell of Cal.
Mr. Warner with Mr. Davis of Fla. Mr. French with Mr. Lever.
Mr. Martin with Mr. Butler, of Mo.
Resolution to Investigate Post-Office Department. 283
Mr. Van Voorhis with Mr. Cassing-Mr. Scott with Mr. Sullivan of N. Y.
ham. Mr. Dick with Mr. Meyer of La.
Mr. Fordney with Mr. Claude Kitchin.Mr. Powers of Me. with Mr. Sherley.
Mr. Knopf with Mr. Weisse. Mr. Kyle with Mr. Barber.
Mr. Davidson with Mr. Sparkman. Mr. Thomas of Iowa with Mr. Lewis.
Mr. Stevens of Minnesota with Mr.Mr. Brick with Mr. Miers of Ind.
Vandiver.
For one week :
Mr. Wright with Mr. Flood. Mr. Smith of la. with Mr. Hardwick.
For this day :
Mr. Hull with Mr. Macon. Mr. Bradley with Mr. Bankhead.
Mr. Bowersock with Mr. Broussard. Mr. Douglas with Mr. Goldfogle.
Mr. Grosvenor with Mr. Lester. Mr. Dresser with Mr. Breazeale.
Mr. Capron with Mr. Burnett. Mr. Evans with Mr. Fitzpatrick.
Mr. Acheson with Mr. Granger. Mr. Fowler with Mr. McDermott.
Mr. McMorran with Mr. Scudder. Mr. Gardner of Massachusetts with
Mr. Smith of N. Y. with Mr. Sulzer. Mr. Hitchcock.
Mr. Littauer with Mr. Wilson ofMr. Wadsworth with Mr. Zenor.
New York. Mr. Mondell with Mr. Gudger.
Mr. Huff with Mr. Reid. Mr. Flack with Mr. Scarborough.
Mr. Loud with Mr. Shackleford. Mr. Castor with Mr. McLain.
Mr. Frederick Landis with Mr. Wal-
lace.
Mr. VAN VOORHIS. Mr. Speaker, I am paired with my col-
league, Mr. Cassingham, and I desire to withdraw my vote.
The Clerk called the name of Mr. Van Voorhis, and he an-
swered "present."
The result of the vote was announced as above recorded.
POST-OFFICE INVESTIGATION IN THE SENATE.
April 12, Mr. Gorman's amendment to the Post- Office appro-
priation bill, adding the following section, was taken up:
"Sec. 1(5. That a commission, consisting of three members of the Sen-
ate, to be appointed by the President pro tempore of the Senate, and five
Members of the House of Representatives, to be appointed by the Speaker
of the House of Representatives, is hereby created to investigate the
status of the postal laws of the United States, with a view of determin-
ing whether changes therein or additions thereto are necessary, and to
make inquiry into the conduct and expenditures of the Post-Office De-
partment, and especially inquire whether there has been extravagance,
violations of law, or corruption in the administration of the affairs
of the Post-Office Department.
"The Postmaster-General shall detail from time to time such officers
and employees of the Post-Office Department as may be requested by said
commission in its investigation.
"For the purposes of the investigation said commission is authorized
to sit during the recess of Congress, to send for persons and papers,
and. through the chairman of the commission or the chairman of any
subcommittee thereof, to administer oaths and to examine witnesses and
papers respecting all matters pertaining to the duties of said commission.
Said commission shall, on or before December 5, 1904, make report to
284 Resolution to Investigate Post-Office Department.
Congress, which report shall embrace the testimony and evidence taken
in the course of investigation, and conclusions reached by said commission
on the several subjects examined, and any recommendation said commis-
sion may see proper to make, by bill or otherwise, with a view of cor-
recting any deficiencies in the law, or abuses, or violations of law, or
corruption, in the administration of said Department.
"That any vacancy occurring in the membership of said commission, by
resignation or otherwise, shall be filled by the presiding officer of the
Senate or House of Representatives, respectively, according as the va-
cancy occurs in the Senate or House of Representatives on said Com-
mission."
Mr. Lodge moved to lay this amendment on the table, and on this
motion there was a yea and nay vote (p. 4872, Congressional Rec-
ord, April 12, 1904) ; yeas 40, all Kepublicans; nays 19, all Demo-
crats; not voting 31.
YEAS— 40.
Aldrich,
Cullom,
Gamble,
Nelson,
Alger,
Dick,
Hansbrough,
Penrose,
Allee,
Dietrich,
Heyburn,
Perkins,
Ankeny,
Dolliver,
Hepburn,
Piatt, Conn.
Ball,
Fairbanks,
Hopkins,
Proctor,
Bard,
Foraker,
Kean,
Smoot,
Beveridge,
Foster, Wash.
Kittredge,
Spooner,
Burnham,
Frye,
Lodge,
Stewart,
Burrows,
Fulton,
Long,
Warren,
Clark, Wyo.
Gallinger,
McComas,
Mitchell,
Wetmore.
NAYS— 19.
Bacon,
Gorman,
Martin,
Simmons,
Berry,
Latimer,
Money,
Stone,
Blackburn,
McCreary,
Morgan,
Teller,
Daniel,
McLaurin,
Newlands,
Tillman.
Dubois,
Mallory,
Overman,
NOT VOTING— 31.
Allison,
Clay,
Gibson,
Patterson,
Bailey,
Cockrell,
Hale,
Pettus,
Bate,
Culberson,
Hawley,
Piatt, N. Y.
Burton,
Depew,
Hoar,
Quarlies,
Carmack,
Dillingham,
Kearns,
Quay,
Clapp,
Dryden,
McCumber,
Scott,
Clark, Mont.
Elkins,
McEnery,
Taliaferro.
Clarke, Ark.
Foster, La.
Millard,
CONSTITUTIONALISM.
EDWARD M. SHEPARD, REPLYING TO MESSRS. HAY AND ROOT,
PLEADS FOR A "RETURN TO RESPECT FOR LAW" AS THE
FIRST REFORM NEEDED IN THE AMERICAN
GOVERNMENT.
A Summing Up of the Real Issues of the Campaign and a Plain Statement of
the Democratic Position. Republican Pretensions Dissected, and the Real
Sources of our National Prosperity Set Forth.
SPEECH OF EDWARD M. SHEPARD AT BENNINGTON, VERMONT,
AUGUST 31, 1904.
It is natural enough to talk for Parker and Davis at Benning-
ton. For their campaign is only a later chapter in that long
struggle for liberty and law and order and equal rights, an ear-
lier battle in which ennobled these fields of yours. In this cam-
paign of 1904, the Democratic party demands public as well as
private obedience to law, public as well as private practice of peace,
a scrupulous assertion and defense by all in authority under the
United States of the sacred and fundamental American right of
self-government, the abolition of the monopolies created by that
system of corrupting special privilege miscalled "protection," a
return to public economy and simplicity of life in official station
and a resolute investigation of the federal department. It is with
these timely and living questions that we ask the country to deal
at this election.
If the Democratic program represent, on the one hand, genuine
and courageous progress along the only true path for a free and
industrial people, on the other hand, it represents nothing new,
but only a return to original American doctrine. The soundness
of that doctrine has been demonstrated by the splendid and benefi-
cent results of our general trend of obedience to it during a cen-
tury and more. It has been demonstrated hardly less by the cor-
ruptions and calamities which have followed departures or excep-
tions from it whenever made by our people or by our national ad-
ministration.
The departures and exceptions are serious indeed which the
present Eepublican administration proposes, and some of which
it has carried out, from this body of doctrine. The Democratic
party, on the other hand, finds its necessity, if not its duty, in
a vindication of the original ideals upon which the prosperity of
our republic and the glory of its citizenship have been built up.
The campaign is truly concerned with underlying tendencies even
more than with the instant decision of concrete and practical prob-
lems. We are asked to say by our votes what kind of an office
286 Constitutionalism.
we would have the American presidency be, — to what kind of moral
and material end we would have the American people direct their
marvellous energies.
The speech of Mr. Hay, the Secretary of State, on the fiftieth
anniversary of the organization of the Republican party, at Jack-
son, Michigan, on July 6th, and the speech of Mr. Root, lately
Secretary of War, as chairman of the Republican convention at
Chicago, on June 21st, were evidently prepared in concert, and long
before their delivery, to be read together as the chief authorized
appeal of the Republican party. Two million copies are said to
have been distributed, — all handsomely and, if the title page be
credible, "privately" printed. They have, and with skill and elo-
quence, said the best that can be said for Mr. Roosevelt's election.
And in their speeches I find an all-sufficient Democratic text. For
their fundamental note is one of fear lest the American people
shall believe that the Republican effort during its last seven years of
renewed power has been to tear the republic from its long and
splendid progress in democratic freedom and humanity. Their
claim is that, after all, there does not rest upon them any burden
of proof that the new departure is wise. For their audacious
affirmation is that there has been no new departure, — that we have
all misunderstood the President's speeches about our new "world
power" and the rest of his strident and boastful talk. The chief
Republican orators now say that recent Republican achievement
and policy have been soberly and patiently kept within old and
tried traditions.
REPUBLICANS ON THE DEFENSIVE.
Notwithstanding their manner of jubilant assertion, they are,
in substance, speeches of conscious defense and even anxious
excuse. They rest the case for Mr. Roosevelt's election upon four
propositions. They say, first, that our increase in pop-
ulation, wealth and power since their party came in power
in 1861 is an all-sufficient demonstration that Republican
power means prosperity, and that Demorfatic power means ad-
versity. They say, secondly, that the Republican party of our
day is a faithful and scrupulous follower of Abraham Lincoln;
that they who would have the Republic continue upon the
humanitarian impulse which dominated our politics from and after
the Chicago platform of 1860, must remain in the Republican
party, for its policy since 1897 has been the flower and fruit
of that very impulse. Thirdly, they say that the present tariff
has created and now preserves the industrial welfare of the United
States and its high rates of wages and profits; that its main-
tenance is the first and most sacred of political causes; and that
it ought not to be readjusted or revised. And their fourth propo-
sition is that President Roosevelt's three years of genuine power,
since he escaped from the immediate shadow of his predecessor's
death, prove him to be a statesman of "far-sighted wisdom," of
"endless patience," of "serious reflection," one who "takes infinite
Constitutionalism. 287
pains to get at the facts before he acts/' whose maxim is that
"the laws in this country are made to be obeyed whether it is safe
or not," and the thought oftenest in whose heart "in times of
doubt and difficulty * * * is 'What in such a case would
Lincoln have done?'"
Such is the Republican case deliberately presented by the most
skillful of Republican advocates. Does it fit the common sense
and common knowledge of the American people?
INCREASE IN WEALTH IS DUE TO REPUBLICANS?
Take the first proposition. Is it true that our increase in
wealth and prosperity since the rise of the Republican party has
been its work, its glory? Was it an appeal to truth for Mr. Hay
to treat as the result of "Fifty Years of the Republican Party" our
increase in population between 1850 and 1900, our fourfold in-
crease in farming acreage, our five-fold increase in corn crop and
six-fold increase in wheat crop, our increase in manufacturing
capital from $500,000,000 to $10,000,000,000? Does any argu-
ment deserve less respect from one who has mastered that first
rule of reasoning which bids him not infer that event A is the
effective and sole cause of event B merely because in order of
time event B comes with or after event A? Were there not in
the United States fertile soil and moderate suns and rains, the
brains and hands and inventive genius of American men and
women, liberty, law and order, — all these before there was a Re-
publican party; and were not they the prime cause of our pros-
perity? The growth of American population and wealth between
the peace of 1783 and the inauguration of John Adams in 1797
was but a small fraction of the like growth under McKinley and
Roosevelt.
And in those fourteen years, — the years when Franklin and
Jefferson and Hamilton and Madison, under the auspices of the
noble, unboastful character of the Father of his Country, estab-
lished our republic, — our material growth in absolute figures was
small indeed, — our railroad mileage nought. Were those earlier
statesmen dwarfs, therefore, in comparison with the latter-day
Titans, who have dwelt in the White House since March, 1897?'
What years, O American men and women, have done more, mate-
rial and moral, than those early ones for their own generation,
what years more for this very Twentieth Century prosperity of
ours ? Is it the Lincoln doctrine, — or was it ever, — that the merit
of moral and political causes is measurable by the wealth and lux-
ury accumulated at the very time of their operation? Is it not
the doctrine of prophets and apostles and the lesson of all prac-
tical history, that self-denial, simplicity, economy, righteousness,
sobriety, lead on, — not instantly but after patient years, — to power
and wealth? Would not Republican orators give better promise
for future fruits of present day Republican administration, — if
they could rather and truly claim for their party under President
288 Constitutionalism.
Roosevelt an enforcement of equal rights, a rigorous economy,
a punctilious regard for law?
"PRESENT WEALTH, PRESENT VIRTUE," A SHALLOW SOPHISTRY.
But if this doctrine of Present wealth, therefore present virtue
in present ruling politics, be not a shallow sophistry, still see with
what absurd unfairness it is applied. Do Republican apologists
say, — dare they say, — what alone would be relevant to the polit-
ical problem, that during the forty-four years since their party
came into power, the progress of our country has been as great,
from year to year, as during the sixty years of general Demo-
cratic supremacy before the Civil War? If the Republican party
may justly ask another lease of power because from 1860 to 1900
our population increased from 31,000,000 to 76,000,000 or 36 per
cent, per decade, why may not the Democrats with greater jus-
tice ask their return to power because from 1800 to 1860, the in-
crease was from 5,300,000 to 31,443,000 or 82 per cent, in each
decade.* Was not the increase in the decade, 1850-1860, — and
in spite of slavery,— from 23,000,000 to 31,000,000, or at the same
rate as in the decades, 1860-1900? If the increase in total wealth
between 1860 and 1900 was from $16,000,000,00.0 to $90,000,000,-
000, or 116 per cent, per decade, and in wealth per capita of pop-
ulation from $513.92 to $1,235.86 or 35 per cent, per decade,
— was not the Democratic increase in total wealth between 1850
and 1860 from $7,000,000,000 to $16,000,000,000 or 128 per cent,
for the decade, being still larger than the Republican, and in
wealth per capita from $307.69 to $513.93, or at the rate of 67
per cent, for the decade, — nearly double the Republican rate?
Although the value of farms and farm property increased from
$7,980,000,000 in 1860 to $20,514,000,000 in 1900 or at the rate
of 39 per cent, in each decade, was not the increase from $3,967,-
000,000 in 1850 to $7,980,000,000 in 1860, or at the rate of 100
per cent, per decade ; and were not, therefore, Democratic aus-
pices far more favorable to prosperity than Republican? Al-
though the corn crop increased from 838 million bushels in 1860
to 2,105 millions in 1900 or at the rate of 37 per cent, in each
decade, was not the increase from 377 millions in 1840 to 838
millions in 1860, or at the rate of 61 per cent, in each decade;
and if, therefore, we wish large increase in the next four years,
ought we not to prefer a Democratic president? Even if the
wheat crop increased from 173 millions of bushels in 1860 to
552 millions in 1900, or at the rate of 50 per cent, in each de-
cade, did it not increase from 84,000,000 in 1840 to 173,000,000
in 1860, or at the larger rate of 53 per cent, per decade ?
* All my statistics are taken from the Summary of Commerce and
Finance for May, 1904, issued by the Bureau of Statistics, Department of
Commerce and Labor. For totaf wealth and other data before 1850, there
are no official figures. In each case the percentages are computed upon
the earlier figure given.
Constitutionalism. 289
HOW ABOUT INCREASES OF WEALTH UNDER DEMOCRATIC RULE?
If this kind of argument be fit, what shall he said of the in-
crease in wealth under Democratic auspices from $7,000,000,000
to $16,000,000,000, in 1850-1860, or at the decade rate of 128
per cent., as against the increase under Republican auspices dur-
ing the decade 1890-1900 from $65,000,000,000 to $94,000,000,-
000 or at the rate of only 44.6 per cent? Or what shall be said
of the increases in wealth per person throughout the United States
in the decade 1850-1860 from $307.69 to $519.93, or at the dec-
ade rate of 67 per cent, as against the corresponding increase un-
der Republican auspices in 1890-1900 from $1,038.57 to $1,235.86
or at the decade rate of only 19 per cent. ? Or what shall be said
of the increase in export of American manufactures of iron and
steel from $52,144 in 1800 to $5,870,114 in 1860, or an average
rate of 1859 per cent, per decade, as against the Republican in-
crease from $5,870,114 in 1850 to $121,913,548 (at the abnor-
mally high figures of 1900), or an average increase per decade
of only 494 per cent. ? Or what shall be said, and perhaps more
reasonably, of the increase under Democratic rule in our export
of agricultural products from $25,000,000 in 1800 to $256,000,000
in 1860, an average of 150 per cent, per decade, as against the
increase under Republican rule from $256,000,000 in 1860 to
$835,000,000 in 1900, an average of only 56 per cent, per decade?
What shall be said of the Democratic increase in our total do-
mestic merchandise exported from $31,000,000 in 1800 to $316,-
000,000 in 1860, or an average Democratic increase of 153 per
cent, per decade, as against the Republican increase from $316,-
000,000 in 1860 to $1,370,000,000 in 1900, an increase of only
83.5 per cent, per decade? Or what shall be said of the Demo-
cratic increase in American tonnage engaged in foreign trade
from 669,921 in 1800 to 2,546,237 in 1860, a Democratic increase
per decade of 46 per cent., as against the decrease from 2,546,237
in 1860 to 826,694 in 1900, a Republican decrease of 16 per cent,
per decade? Or what shall be said of the Democratic increase
of tonnage engaged in domestic trade from 301,919 in 1800, to
2,807,631 in 1860, a Democratic increase of 138 per cent, per
decade, as against the Republican increase from 2,807,631 in 1860
to 4,338,145 in 1900, or only 13 per cent, per decade? If the
increase in railroad mileage be so significant a Republican glory,
is it not fit to point out that under Democratic auspices the mile-
age increased from 23 miles in 1830 to 30,626 in 1860; or, if
this be a crowding of the argument, then that the increase under
Democratic auspices in 1850-1860 was from 9,021 to 30,626, a
decade increase of 239 per cent., as against the increase from
161,276 in 1890 to 194,334 in 1900, or at the decade rate of only
20.5 per cent.
MORE DEMOCRATIC BENEFITS.
Or shall we take the increase in total manufactures, which is
the glory of the protectionists? We have not the official figures
290 Constitutionalism.
before 1850 which would, no doubt, show enormous proportional
increases. Let us, as we must, begin with 1850. The Democratic
increase for 1850-1860 was from $1,019,000 to $1,885,000,000,
or at the decade rate of 84 per cent. But in 1890-1900 the Re-
publican and "protected" increase (allowing the abnormally high
prices of 1900) was from $9,372,000,000 to $13,039,000,000, or
at the decade rate of only 39.2 per cent. Is it not significant
that, while the total manufacturing product increased in 1890-
1900 bv 39 per cent., the increase in wages and salaries paid em-
ployeeswas from only $2,283,000,000 to $2,735,000,000 or at the
decade rate of 19.8 per cent., being only one-half the ratable in-
crease in the manufacturing output. So it is to be noticed that,
while population increased in 1850-1860 by 35 per cent., the in-
crease in manufacturing output was 84 per cent., or 2.5 times the
rate of population increase ; but that the population increase from
1890-1900 was 21.8 per cent., while the increase in wealth was
39.2 per cent., or only 1.81 times the population increase. In-
deed, in whatever just way the figures of even manufacturing
growth are treated, they tell for the period of Democratic rule
and greater economic liberty.
The Republican orators and campaign book refer to the recent
great increase in exports of domestic products as a crushing proof
that, even if foreign trade be considered, Republican administra-
tion and a high protective tariff are best. Did not, — so they say,
—exports increase from $316,000,000 in 1860 to $1,370,000,000
in 1900, a per decade increase of 83 per cent, upon the amount
in 1860? But here again it is easy to explode their argument.
For the increase in 1850-1860 was from $134,000,000 to $316,-
000,000, or at the decade rate of 134 per cent., — a Democratic
rate of increase under a revenue tariff half as large again as the
Republican and "protected" rate of increase. From 1890 to 1905
the increase was from $845,000,000 to $1,392,000,000, or at an
annual rate of 4.9 per cent., being less than half the Democratic
rate of 13.4 per cent, in 1850-1860.
THE YEARS OF OUR GREATER GROWTH.
Mr. Hay ventured to include the decade 1850-1860 in his fig-
ures of Republican glory. Yet those were years of Democratic
power; and the Walker tariff, enacted by Democrats in 1846 for
revenue only, was in effect. Is there anything so truth telling
in the vast masses of figures in the Republican campaign book as
the fact it would conceal, that those were years of greater ratable
growth in material things than any our country has since known?
I cannot leave this mass of figures, made necessary by the al-
most overwhelming dependence of the Republicans upon the "pros-
perity" argument, without asking you to think of another point.
Does it not illustrate the debasing effect upon the latter-day morale
of the Republican party produced by its change of dominant
purpose from the restraint of human slavery to the maintenance
and tightening of the shackles of a "protective" tariff, that Messrs.
Constitutionalism. 291
Hay and Root and the authors of the Eepublican campaign book
have made no allowance for the regenerative and stimulating
effect of the abolition of slave labor? If other things were equal,
the rates of industrial increase from I860, when in nearly half
the country the labor was chiefly crude, wasteful, hopeless labor
of slavery, to 1900, when all labor was free, ought to have exceeded
those of the preceding decade, instead of to have fallen so far
below them.
WERE THE REPUBLICANS RESPONSIBLE FOR THESE PANICS?
Do you still, Messrs. Root and Hay, stand to this kind of argu-
ment? If you do, let me further ask how sound is the reason-
ing,— how sincere it is, — that accords a sudden and complete oper-
ation to governmental methods or economic policies more than
to the habits of a man or the customs of a people. Do they pro-
duce their full effect at the very moment? Or, in the field to
be ploughed by statesmen, does effect follow cause as it does else-
where? Was the profound commercial depression in 1873-1879
the result of mistakes of Gen. Grant in his second term and of
Mr. Hayes in his first two or three years? Or did it follow deep,
widespread influences operative for many years preceding 1873,
including not only the necessary waste of the war to save the
Union and abolish slavery, but not less seriously the Republican
issues of paper money, the indirect injury wrought by the demor-
alization of an even just and necessary war, and the private ex-
travagance and speculation incident to large governmental ex-
penditure? If, as every sensible man knows, such an industrial
and business condition must follow long-time causes, then so far
as they are due to what government does or om^ts to do, was not
such commercial depression chiefly due to policies of the Repub-
lican party? Was the cause of the crisis of 1893-1897 the mere
fact of an election in November, 1892? Is it a fit thing for the
Republican advocates to ignore the potent influence of the Mc-
Kinley tariff bill, of the vast increase in pensions under the bill
signed by President Harrison, — even more the undermining and
disastrous effect upon business confidence of the operation of the
Sherman silver law and the financial disturbances at the same time
throughout the world ?
WILSON-GORMAN BILL NOT CAUSE OF DEPRESSION.
And how much honest intelligence is there in the Republican
affirmation that the Wilson tariff law, enacted on August 25,
1894, produced a crisis which, gathering during President Har-
rison's last year, openly broke upon the country in May, 1893,
seventeen months before any tariff change? So far as the ap-
parent prosperity which, returning before President Cleveland
last left the White House, as it had departed before his Repub-
lican predecessor, President Harrison, left it, continued for sev-
eral years, is to be ascribed to any president, it must be ascribed
to him, if effect follow cause. The white sails of commercial
venture and industrial enterprise which, since then, have been
292 Constitutionalism.
blown out and rounded, are now coming more and more to an
ominous shiver; and more cautious Republican statesmen already
point out that their party is not to be condemned merely because
hard times come when it is in power. But if the Eepublican
party ought not to be thus condemned, it is simply because the
chief argument made by its orators and its official campaign book
is grossly unsound. But reject this insolent claim of credit to
Republican administration for what during the first century and
more of our freedom, splendidly resulted from our long and per-
sistent rejection of the devices of imperialism with its great ar-
mies and navies and extravagant administration and foreign med-
dling,— from our vast area of interior free trade, from our soil
and climate and mines and rivers and forests and, most of all,
from our free men, jealous of their own rights and respectful
of others, and of their industrial genius, which is truly an item
and result of their love of liberty, — reject this preposterous claim,
— and the Republican case is naked indeed.
Although the chief Republican dependence is thus laid upon
the argument that we made money, or seemed to make it, and that
prices were high under McKinley and Roosevelt, and that the
money-making and the high prices were due to Republican ad-
ministration and legislation, the Republicans still reluctantly per-
ceive that moral feeling plays a real part with American voters.
So, as a second argument, Messrs. Hay and Root, and even the
sordid pages of the Republican campaign book, affirm a moral
kinship between Abraham Lincoln and the statesmen who con-
trol their politics in 1904, between the men and women who gave
the all necessary religious and humanitarian uplift to the anti-
slavery struggle and the war for the Union, and, on the other
hand, the vast corporate and business influences which, by and
for their own profit, dominate the Republican party. To these
influences even its gallant and strenuous candidate has, — after
his much protesting eloquence to the contrary in 1902 and 1903,
— been compelled to completely submit with promises not again
to "run amuck/' and not again to treat the tariff question as open,
even to the extent to which President McKinley at the last held
that the welfare of the country required it to be open. Surely
the claim to this kinship needs only to be stated to refute itself.
PROTECTION NOT MENTIONED IN 1861.
What part, indeed, did a protective tariff play in the national
uprising of 1861? How much was it discussed in the Lincoln-
Douglas debates of 1858, or Lincoln's Cooper Union speech of
1859, or the important speeches, Republican or Democratic, of
1860 or 1864? It was not mentioned. The Republican platform
of 1856 said not one word in behalf of protection nor did it men-
tion the tariff, although the Walker tariff — a tariff for revenue,
and not for protection — had been in operation' ten years. The
Republican platform of 1860 did not refer to protection or a pro-
tective tariff. In one of the later and subordinate clauses of the
Constitutionalism. 293
platform it did declare that, "while providing revenue * * *
by duties upon imports, sound policy requires such an adjust-
ment of these impositions as to encourage the development of
the industrial interest of the whole country/' But even this
vague suggestion, which might mean high or low protective du-
ties, or no protective duties whatever, made no part of the cam-
paign. Lincoln did not refer to it in his letter of acceptance
or in his inaugural. In 1864 the Republican platform made not
a single reference to protection or the tariff; nor did Lincoln in
his acceptance or inaugural.
Something from Abraham Lincoln in behalf of a high pro-
tective tariff would be precious, indeed, to the Republicans of to-
day. But they can find nothing. For even their campaign book
the best they can do is to pick out a few sentences from speeches
of Mr. Lincoln in 1843 and 1847, a dozen and more years before
he was President, and even before he was in Congress, in which
he declared that the justification of a protective duty would be
its result in establishing some new industry in our country, so
as to secure the goods to the consumer at a cheaper rate than he
could bring them from abroad. The modern Republican idea that
the use of a protective tariff is to keep prices high to the American
consumer in order that the profits of other Americans engaged
in gigantic and long established industries shall be increased,
would have been as abhorrent to Abraham Lincoln as it is to Judge
Parker.
Even in 1868 when, the war being three years ended, business
questions began to be thought of, the Republican party said not
a word in behalf of a protective tariff, but, rather to the contrary,
declared that "it is due to the labor of the nation that taxation
should be equalized and reduced as rapidly as the national faith
will permit;" and General Grant in his letter of acceptance was
equally silent on this question. Could there have been Repub-
lican success in 1860 or 1864 or even 1868 unless Walker tariff
men and even free traders whose economic views remained un-
changed, had not left the Democratic party for the Anti-Slavery
party? Would not that success have been defeat if Chase, Sum-
ner, Blair, Bates, John M. Palmer, Trumbull and a host of other
former Democrats and believers in low duties had not, — and be-
cause the tariff was not in question, — joined the Republican party?
Are you not, Mr. Hay, forgetful, very forgetful, when you say
that "only those who believe in human rights and * * *
who believe in the American system of protection * * * have
any title to name themselves by the name of Lincoln, or to claim
a moral kinship with that august and venerated spirit?"*
And what part did colonial exploitation of inferior races or
weaker countries, or the policy of "big stick" suzerainty over the
* Mr. Hay, in "Fifty Years of the Republican Party."
294 Constitutionalism.
republics to the south of us, or the policy of the "strong man
armed" in the trade and territorial disputes of foreign countries,
play in the politics conceived or directed by Lincoln or his party?
If, in 1854, the Democratic party boasted the Ostend manifesto
in behalf of a conquest of Cuba, did it not result in Democratic
shame and disaster? If Seward, at the head of a Republican
cabinet, a month after Lincoln's inauguration, secretly urged his
chief to avoid domestic difficulties by plunging us into an Euro-
pean war, did not Mr. Hay's own disclosure in his Lincoln biog-
raphy of the secret well nigh blast Seward's reputation for states-
manship? Quote, Mr. Root and Mr. Hay, if you can, any re-
membered and honored utterances of honored Republican states-
men before McKinley's presidency, in behalf of your foreign and
colonial policy. Quote, if you dare, the Republican platform as-
sertion in 1856, that "the maintenance of the principles pro-
mulgated in the Declaration of Independence is essential to the
preservation of our Republican institutions," that the "highway-
man's appeal" that "might makes right" would "hring shame and
dishonor upon any government or people." Or quote the
Republican declaration of 1860 that the doctrine that govern-
ments derive "their just powers from the consent of the governed,"
is "essential to the preservation of our republican institutions."
Or quote the platform declaration by the Republican party in
1868 of its "sympathy with all oppressed peoples struggling for
their rights," and of its solemn recognition of "the great prin-
ciples laid down in the immortal Declaration of Independence
as the true foundation of democratic government." If to these
challenges you must remain dumb, are you not, truly in Mr. Hay's
eloquent words, guilty of "sacrilege to try to trade upon that
benignant renown" of the humanitarian Lincoln "whose light 'folds
in this orb o' the earth' ?"
REPUBLICANS FIGHT TARIFF REVISION.
The Republican note is, I admit, more sincere in the third of
the four chief propositions of their campaign. The mass of the
Republican party, — some of its leaders, and all of the practically
monopolistic interests which control its economic policies, — do
believe, really and earnestly, that American prosperity and the
high standard of American industry depend upon very large "pro-
tective" duties. If many of their chief leaders or statesmen,
like Secretary Blaine in 1889 or President McKinley in 1901 (or
like even President Roosevelt in 1902), have at last become skep-
tical and suggest their doubts, — or if the Iowa idea of some tariff
revision and reduction be held in the northwest or by Republican
managers of various hampered industries in Massachusetts and
elsewhere in the East, — such doubts or liberalities do not, and will
not, practically affect Republican legislation. The limits of even
this long speech prohibit discussion of the great issue which Dem-
ocrats wisely and courageously raise by their assertion that the
system called "protection," — that is to say, the support of specially
Constitutionalism. 295
favored interests by duties, payment of which is enforced upon
the whole people, — is a "robbery/7 and by the Republican vin-
dication of it as a "cardinal policy" to be followed.
I point out, however, that, notwithstanding the former urgency
of both Mr. McKinley and Mr. Roosevelt for revision of tariff
schedules in the interest of larger export trade, the Republican
party is now pledged, not only against revision, but against dis-
cussion whatever of the question. The citizens who would undo
any injustice in the tariff or let down any of its obstructions by
partial repeals or reciprocity treaties, or who would have light
shed upon the operation in detail of its multifariously complicated
system constructed by "give and take" between the attorneys of
special interests before Ways and Means and Finance Committees,
is peremptorily refused any relief if Mr. Roosevelt be elected.
The policy of "stand pat" means that, under Republican auspices,
no committee shall investigate, nor House of Congress consider,
the working of the tariff. On this subject there must be mute
•obedience as before a deity.
If the manufacture of steel and iron be no longer an "infant
industry" to be cherished, but a practical monopoly within the
American republic, out of whose profits the vastest fortunes in
the world have been built up, — if it sell its products to foreign-
ers more cheaply than to Americans, — nevertheless there must
be silence. If its charter of monopoly in the Dingley tariff or
any other schedule of that law is found to be unjust or corrupt
or oppressive, — still they are never to be revised until those who
have made them thus vicious shall choose to revise them. Judge
Parker has pointed out that, since the Senate must be Republican
during the next four years, no tariff reform can be enacted with-
out Republican support; but he promises, if elected, an effort to
obtain that support, and, in any event, a presentation of the cause
to public opinion from the vantage ground of the presidency of
the United States.
WHAT A VOTE FOR ROOSEVELT MEANS AS TO THE TARIFF.
A vote for Mr. Roosevelt, on the other hand, is a vote that not
even an effort at tariff reform, — even the slightest measure of it,
— shall be made, and that every iniquity of the Dingley schedules
shall be borne in silence. The Republican platform declares that,
when England "agitates a return to protection, the chief protective
country should not falter in maintaining it." This praise of Mr.
Chamlberlain for his policy of defensively economical warfare
against the United States finds a fit place in the Republican creed.
They applaud the retaliatory blow aimed at ourselves, so much are
they in love with any blow given by any nation to another.
THE "THEODORE ROOSEVELT HIMSELF" PLEA.
The fourth and last important Republican argument is Pres-
ident Roosevelt himself. To many, whether for or against him,
it is the first argument, although prudent Republican advocates
dare not, or at least do not, give it that rank. If Americans re-
296 Constitutionalism.
fuse to ascribe the fruits of their soil and sun and rain and in-
dustry and skill and invention to Eepublican presidents, or to
credit the assertion that the cause of the prosperity of a nation
at a given time is in its present politics rather than in the long
time past operation of deep dynamic causes; if they refuse to
find "moral kinship" between those who struggled to free the
slaves and save the Union, and those who now refuse self-govern-
ment to the Philippines and by law saddle the vast profits of mo-
nopolistic interests upon the people at large; if they do not deem
the system of excluding foreign goods offered in exchange for
theirs to be the chief support of American prosperity, — if these
reasons will not secure their support, nevertheless will they not
vote for Theodore Eoosevelt? Is he not the "type of noble man-
hood," of "gentle birth and breeding," with the "sensibility of
a poet," and the "steel nerve of a rough rider," — a man of "honor,
truth, courage, purity of life, domestic virtue, love of country,
loyalty to high ideals"? For these qualities, it is as easy, — Mr.
Hay delightfully says, — to talk of him as "to sing the glory of
the Graeme." But, however gladly we accord all this to Mr.
Eoosevelt, we may still thank God that such praise is not sound
argument.
For, unless by "gentle birth and breeding" there be meant the
President's inheritance of wealth and superior opportunities in
education and social life, Alton B. Parker is, in all these things,
his equal, as are tens of thousands, and more, of Americans who
will never be named for any office. The argument for Theodore
Eoosevelt, distinct from his party and his political program, can-
not, as Mr. Hay and Mr. Eoot well knew, be rested upon these
virtues. Not only are they common in our country, but men
having all of them have, as rulers, done their countries infinite
harm. For their purposes, therefore, these adroit Eepublican apol-
ogists wisely ascribe to him certain far rarer, — even if. not purer,
— virtues of the really great ruler. His "far sighted wisdom," his
habits of "long meditation and well reasoned conviction," of "se-
rious reflection," of taking "infinite pains to get at the facts be-
fore he acts," of "endless patience," of living up to the maxim
that "The laws of the country are made to be obeyed," — these are
the faculties which the Eepublican orators deem it fit and far
more relevant to ascribe to him. They know what the American
people require. These faculties are, indeed, those of true states-
manship.
ROOSEVELT'S NEWLY DISCOVERED QUALITIES.
But, honor bright, Messrs. Hay and Eoot, can you sincerely af-
firm them of Theodore Eoosevelt? And, oh, Secretary Hay, what
are we to say of your supreme tribute to the "ardent and able young
statesman," who is your chief, that "in times of doubt and dif-
ficulty the thought oftenest in his heart is, 'What in such a case
would Lincoln have done?'" If, after the new fashion of which
we are advised, your manuscript were not submitted to the Pres-
Constitutionalism. 297"
ident, — still doubtless you were right that in that amazing asser-
tion you were "violating neither the confidence of a friend nor
the proprieties." But would it have violated either if you had
let us know what act or utterance of Lincoln was in the Presi-
dent's heart on his three days' recognition of Panama, or on his-
executive extension of the pension law, or on his threat against
the South American republics, or during his long continued and
truly "ardent" advocacy of a great navy, or in his long and sys-
tematic preaching of the "strong man armed" and the "big stick,"
or when he sent to his somewhat dull convention at Chicago that
true rough rider's telegram that we must have "Perdicaris alive
or Eaissuli dead." The President's three years' occupancy of the
centre of the stage have made the American people understand
this part of his character and political habit. His personal charm
will, I believe, earn him many votes; the false argument that
Eepublican supremacy and a high protective tariff mean national
welfare will bring him many votes; but I venture to say that not
a score of votes will go to him for his imaginary faculties of "long
meditation'" and "endless patience," of sober devotion to law, or
for his imaginary devotion to the ideals of one so patient, so long-
suffering, so humane and even gentle, so wise and steadfast, as
Lincoln.
GOV. BLACK'S STRANGE EULOGY.
Hear rather the eulogy by Gov. Black which we are told, and
without contradiction, was submitted before its delivery to the
President himself:
"Fortune soars with high and rapid wing, and whoever brings it
"down must shoot with accuracy and speed. Only the man with
"steady eye and nerve and the courage to puil the trigger brings the
"largest opportunities to the ground. * * * He spends little
"time in review for that he knows can be done by the schools. A
"statesman grappling with the living problems of the hour, he gropes
"but little in the past. He believes in going ahead. * * * The
"fate of nations is still decided by their wars. You may talk of or-
"derly tribunals and learned referees; you may sing in your schools
"the gentle praises of the quiet life; you may strike from your books
"the last note of every martial anthem; and yet out in the smoke
"and thunder will always be the tramp of the horses and the silent,
"rigid, upturned face. Men may prophesy and women pray, but
"peace will come to abide forever on this earth only when the dreams
"of childhood are the accepted charts to guide the destinies of men."
This was part of the vindication of the President officially made
by the distinguished and practised speaker chosen to present his
name, and give the reasons for his nomination. Will not its
very praise suggest to any wise American the real Theodore Roose-
velt of great public station ? Does it not suggest the "ardent young
statesman" who, in so many ways, and so often, and until his
advisers bade him beware of heroics while the American people
were soberly considering their verdict, exhibited a reckless and
war-loving temper? Was not Governor Black right? For did
lie not speak of a president who has declared his contempt for
298 Constitutionalism.
"that mock humanitarism" which would prevent the great liberty-
loving nations of the world from going to war, who despises, as
he himself has told us, the "cloistered virtue" which dare not go
down into "the hurly-burly where the men of might contend" ?
Was he not speaking of a president who, in a hundred speeches,
has talked of the "craven" and the "weakling" and the "coward
who babbles of peace," who has preached the "just man armed"
as his dearest gospel, who would have a great army, although, as
lie has said, "we do not need it in the least for police purposes
at home," but because we need to use it abroad, — who, three years
before our marauding venture at Panama, declared that "we must
build the Isthmian canal," and must grasp the points "of van-
tage," meaning that we must violate the territory of another na-
tion,— who has talked in season and out of season of the "cant
about liberty" and "the consent of the governed," — who, speak-
ing as the chief magistrate of a republic of law and order and
peace, which in its men and resources is the most powerful of
nations, declared that its maxim should be, "Speak softly and
carry a big stick," and who has of late in plain terms threat-
ened our neighbors at the South that unless, — in their relations,
not with the United States but with others, for whom we are in
no way called upon to act, — they acted "with decency in indus-
trial and political matters," unless they "kept order and paid their
obligations," unless they "governed themselves well" and were
"prosperous and orderly" they might expect our forcible inter-
vention ?
WHERE A PARALLEL FOR SUCH WARLIKE UTTERANCES?
Where is the parallel for utterances like these by the ruler of
a, great country since Moscow and Waterloo brought to an end
the insolent addresses of the first Napoleon to the monarchs of
Europe and the terrified envoys at his court? Some of the Pres-
ident's admirers draw a comparison between him and Andrew Jack-
son. Jackson indeed was not lacking in courage, virility, energy
■or genius ; and, besides, he was a frontiersman of very rough early
years, utterly lacking the elaborate and gentle education and long
literary practice of the President. Jackson also asserted his coun-
try's rights, but, like a later Democratic president in 1895, against
powerful nations of Europe. But in no speech or paper of Jack-
son's after he came to the presidency can utterances like those
of Mr. Eoosevelt be found. Nor can like utterances be found
in the record of any one of our Presidents, — especially not of
Washington and Jackson and Grant, who had been great gen-
erals.
In Gov. Black's speech, — in the President's own exhibition of
his political temper and ideals, before the enforced sobriety of
critical candidacy was upon him, — in these and not in the cau-
tious and diplomatic utterances of Secretary Hay and Mr. Eoot,
is the true Roosevelt, — as we have seen his behavior in great pub-
lic station. It is to the credit of Messrs. Hay and Root that they,
Constitutionalism. 299
far better than Gov. Black or the President himself, knew the abid-
ing instinct of the American people, and offer their own states-
man-like and ideal Roosevelt, so very, very far removed from the
real Eoosevelt of the chief magistracy.
Such, then, fellow-citizens, is the strength of the Republican
case. And is its strength, not weakness, shattered the moment
a sober-minded citizen really thinks out its argument? But even
so, it will be asked, what have the Democrats to offer?
WHAT DEMOCRACY OFFERS.
Before we Democrats propose any specific measure we ask the
American people to remember their own history. We also begin
with the marvellous statistics of national growth from the first
census in 1790 to the last in 1900, with the increase in popula-
tion, in the produce of farm and manufactures and forests and
mines, in the achievements of American invention and organized
industry. We do not say that these material results have been
achieved by laws, however good. We recognize their source in
the natural bounties of God, and the hearts and brains and muscle
of American freemen. We do add, however, that, here between
the Atlantic and Pacific, between Canada and the Gulf, was first
tried on a great scale the new experiment of human and industrial
freedom, of equal rights and no special privilege. If the pres-
ence of negro slavery, until the Civil War, created dismal ex-
ceptions,— and if the presence together in the South of a great
or equal or even outnumbering mass of a colored race with pro-
foundly different characteristics, and as yet vastly behind the white
race in the faculties of disciplined industry and high-class gov-
ernment, gave, and even now gives, rise to anomalies and incon-
sistencies,— they have made only clearer the wisdom and benefi-
cence of our fundamental policy. We Democrats point out that,
during this period of splendid growth, there was systematic hos-
tility to a large military or naval expenditure, there was system-
atic preference for simple and inexpensive administration, there
was systematic dislike of personal and sumptuary restraints.
Democrats do not, like Republicans, forget how vast during
our wonderful economic progress has been the American area of
free trade between our forty-five states, an extent of free trade
far beyond anything ever before or now elsewhere known. For
that area has included the widest difference of climate and soil
and human labor, and also far differing conditions in organized
society, ranging from settlements nearly three centuries old to
frontiers occupied but a few years. They remember that the in-
ternal trade of this truly imperial domain which is free of all tariff
is in volume and amount vastly, very many times, more impor-
tant than its foreign trade which is subject to tariff.* They
point out that for more than a century the American nation scru-
* Senator Hoar, in his speech on Trust Legislation in the Senate on
January 6, 1903, states that "our domestic commerce is * * * more
than twenty times as great as that with foreign nations."
300 ' Constitutionalism.
pulously refrained from foreign entanglements and made no forci-
ble conquest except as it took from Mexico as a war indemnity
the practically uninhabited country on the Pacific slope and the
Rio Grande. They point out that, although the conditions of
American life have, to a large extent, been those of a new and
frontier country, the public men and the official life of our coun-
try have been so dominated by love of law as to command the
just tribute of every intelligent foreign visitor, and that the very
"lynch law" which has now and then in thinly-settled parts of
this vast domain disgraced portions of our population, has often
been mere reaction against misdirected respect for law on the part
of those in authority.
FUNDAMENTAL SOURCES OF PROSPERITY.
From all these conditions and from these institutions, — and
in spite of their faults, — has come, — so the Democrats say, — the
industrial productivity and triumph of the American citizen.
After praise to God for His gifts to us of land and water and
climate, it is to these deep lying and truly dynamic causes, and
above all to the American devotion to liberty and law, that the
Democratic party assigns our splendid results in agriculture and
mining, our vast treasure houses, our enormous increase in rail-
road and manufacturing plants, and all other material as well
as political glory of our land. Democrats know, nor would they
have any American forget, that the most stupendous force the world
has known, is the free, self-governing, law-abiding, self-respect-
ing citizen, regardful of the rights of other men and therefore
justly insistent upon his own. From the marvellous success of
our country summed up in the census of 1900 and its tables of
comparisons with the results of other censuses, the Democrats draw
the conclusion, not that the general and broad principles of the
American people should be reversed, or their sacred traditions un-
done,— but that they should be continued; that only faults and
exceptions and inconsistencies should be eliminated. They would
not have less respect for law but more respect; not less freedom
of trade but more freedom ; not less respect for the rights of other
countries and races, however inferior to us, but more respect;
not more foreign entanglements but fewer; not increase, but de-
crease in the proportion of military and naval and general gov-
ernment expenditure to the ability of the people.
REFORMS DEMOCRACY DEMANDS.
Such is the general creed of the Democratic party; and such
must and will be its practice when it returns to power. But the
candidacy of Judge Parker represents something besides this table
of principles. If he be elected, he will undertake specific reforms ;
if the Republican Senate prevent the enactment of any of the
necessary laws, the Democratic president will lead on, surely if
conservatively, to the accomplishment of those reforms as soon
as the American people shall be able, under our Constitution, to
Constitutionalism. 301
choose United States Senators to do their will. And these re-
reforms are plain:
RETURN TO RESPECT FOR LAW.
First. — A return by the executive of the country to respect for
law, national and international; a refusal by executive order and
without warrant of law to open the treasury for pension or other
largesses whether just before an election, as President Eoosevelt
has done, or at any other time; a steadfast remembrance that the
price lately paid in the practical connivance of the Eepublican
administration with conspirators, — and in other precedents dan-
gerous for the peace and welfare of the civilized world, — for the
beginning of the Panama Canal, — or the price paid in lawless
despotism for the suppression of disorder in Colorado — or for the
Accomplishment of any other good, or to "do things," a little ear-
lier than they would otherwise and inevitably have come, is far too
great a price to be paid by a free, honest and law-abiding people.
NO MEDDLING WITH OTHER NATIONS.
Second. — A refusal to meddle with the affairs of other nations
except as it is necessary to protect our own rights; a withdrawal
from the program of menace and overlordship to be exercised in
behalf of European nations against the republics to the south of
us, — which was condescendingly and even contemptuously held
out by the President in his letter written to the Cuban dinner
only a few weeks before his nomination; a return to the ancient
doctrine of friendship with all nations; a refusal to convert such
a friendship for England into the unworthy sympathy shown by
those in high authority under President Roosevelt for its Jingo
warfare upon the South African Republic. Capt. M]ahan, the
President's own special spokesman in the Navy, has indeed earned
the admiring recognition of the aristocratic and military classes
of England by his eulogy of warfare as a chief agent of civiliza-
tion and by his sympathy for her in her wars, even the worst of
them. Mr. Choate, our Ambassador at St. James, instead of en-
forcing, so far as the proprieties of his place permitted, and as
his predecessors, Mr. Lowell and Mr. Bayard, did, the ideals of
democracy, has invited the favor of the same classes by his un-
qualified tribute to Lord Roberts for his military victories over
weaker nations resisting conquest by England. If, under Pres-
ident Roosevelt, we are gaining the sympathy and approval of
English Tories who have been hostile to our democracy and who
during our Civil War, wished us to perish, we are losing the sym-
pathy and approval of that noble body of Englishmen, the true
bulwark of English civilization, who stand for peace, trade liber-
ality, humane and democratic progress, men who are the successors
of Gladstone and Cobden and Bright, those who have wished us
well and have struggled to make the world better by making it
more free.
302 Constitutionalism.
TARIFF REDUCTION.
Third. — A sincere and persistent effort to reform the tariff,
and especially to abolish or, to the uttermost practicable, reduce
those duties the plain effect of which is to create monopolies, and
is not, as pretended, to extend or diversify American industry,
but rather to stifle its freedom. . If, because public sentiment is
not yet ready, we cannot at once and completely sweep away the
robbery practised under the alluring name of "protection," or
even now go back to the low tariff schedules advocated by the early
protection leaders, Hamilton and Clay, we can at least undo the
monstrous excesses of the present system, and then let the Amer-
ican people, in the light of that measure of reform and of its prac-
tical results, decide whether the lowering of duties does not tend
to promote our industrial progress. If for four years we must
face a Eepublican Senate, none the less we can systematically pre-
sent this great and pressing question to the American people for
discussion, and, perhaps, through enlightened public sentiment,
as Judge Parker hopefully suggests, even compel our adversaries
in the Senate to yield.
RETURN TO PUBLIC ECONOMY.
Fourth. — A return to public economy. The total expenditure
in President Koosevelt's last fiscal year, ending July 1, 1904, was
$562,000,000, or, if the $50,000,000 paid on account of the Panama
Canal, and the $4,000,000 paid to the St. Louis Exposition, be
deducted, the total expense was $528,000,000, or at a per capita
rate, in time of profound peace, of $6.57,* the greatest ever known
in the history of our government, except only the expenditure as
measured in depreciated paper currency during the Civil War in
1863, 1864 and 1865, and the expenditure in 1899 during the worst
of the Philippine War. Without the Panama and St. Louis Exposi-
tion payments, the expenditure during Mr. Eoosevelt's first three
years has been $1,505,692,185.99, as against $778,340,119.60 for
the first three years of Mr. Cleveland's first term, and $1,075,900,-
024.29 for the first three years of Mr. Cleveland's second term,
when he had to bear the enormous increase by permanent legisla-
tion enacted hy the Eepublicans under President Harrison. The
danger of this is not only that the increase is in a proportion far
exceeding the proportional growth of the population, but that it is
in a proportion exceeding the proportion of increase in the wealth
and earning capacity of the country and its wages. Although since
1900 industrial conditions have grown less favorable and wages
have been reduced, the expenditure, omitting interest on the public
debt, in the gross and per capita has very greatly increased.
ROOSEVELT'S ENORMOUS EXPENDITURES.
In Mr. Eoosevelt's last year our expenditure upon the War De-
partment, not including pensions, was $115,000,000, and without
* On the basis of the population estimate for 1903, given in the official
Summary at 80,372,000.
Constitutionalism. 303
the excuse of war, as against $44,000,000 in the last year of Presi-
dent Cleveland's first term, or $49,000,000 in the last year of Presi-
dent Harrison, or $48,000,000 in the last year of President Cleve-
land's second term. President Roosevelt's expenditure for the
Navy Department last year was $102,000,000, as against $21,000,-
000 in the last year of Cleveland's first term, or $30,000,000 in
the last year of President Harrison or $31,000,000 in the first year
of President Cleveland's second term. In war and naval expendi-
ture combined, excluding pensions, we now rank with England and
outrank France and Germany ; and we are without their excuse of
powerful and jealous neighbors. The freedom from this wasteful
barbarism was until lately a glory of our Republic. Unless the
Democratic party succeed we shall continue in the barbarism..
And all this goes with the imperialistic temper of disregard for
law and public right which belongs to the President.
OTHER IMPORTANT REFORMS.
Fifth. — A resolute investigation of the executive departments.
The public has already had some glimpses of the conditions of in-
competence and corruption in the Post-Office Department. The
Republicans have refused any independent investigation.- The time
is well for it ; but it will not be had unless Judge Parker is elected.
Sixth. — The grant of independence to the Philippine people.
Since there has, for years, been no recognized government there ex-
cept the American, no doubt the manner of the restoration to the
Philippine people of their right of self-government must accord
with existing conditions. But the thing to be accomplished and to
be accomplished at the first practicable moment is to put in opera-
tion in the Philippines the fundamental rule of the American
democracy, the rule affirmed, as I have already shown, by at least
three Republican national conventions, that government under the
American flag shall depend upon the consent of the governed.
Seventh. — A dissolution of the partnership between the great
corporations of the country and the United States Government, a
partnership most unworthily illustrated by the transfer of Mr. Cor-
telyou from the head of the department in supervision of the cor-
porations to the chairmanship of a national committee which is in
large part dependent upon those very corporations for its pecuniary
support.
Eighth. — A refusal of a subsidy to the shipping interest or to
any other interest.
Ninth. — A refusal to reopen the negro question, and thus to in-
terrupt and well nigh frustrate the high-minded and skillful work
being done by educational and industrial leaders and the encour-
aging progress they are making toward a solution of the unique
and tremendous difficulty incident to the presence together at the
South of two widely differing races. •
LET US RETURN TO SIMPLER AND NOBLER IDEALS.
Such are some of the measures which the Democratic party may
be justly expected to undertake if power shall be accorded them in
304 Constitutionalism — Electoral College.
November. They may all be summed up in this, that the govern-
ment of this democratic republic should be made democratic; that
its powers should not be used to promote special interests ; that the
rule of democratic self-government should be sacredly observed;
that the money of the people should remain in the pockets of the
people through rigorous economy in the administration of govern-
ment; that the people should support their government rather than
that the government should be used to support special and limited
classes of its citizens ; that there should be sacred regard to law and
■order ; and finally, and above all, that, in place of the ideal held up
by the Republican party and promoted by President Roosevelt, —
the ideal of force and lawlessness and war, — we should return, as
Judge Parker and Senator Davis would have us return, to the
simpler and nobler ideal which, in spite of some exceptions and in-
inconsistencies, our Republic followed for its first century and
longer, and under which, and by reason of which, the American
people have come to a splendid wealth and prosperity, and their
.nation to a just and honorable power.
ELECTORAL VOTES OF STATES IN 1904.
AS APPORTIONED BY ACT APPROVED JANUARY 16, 1901.
Alabama -----'- ---11 Nebraska ---------- 8
Arkansas 9 Nevada ----------- 3
California ---------10 New Hampshire ------ 4
Colorado --------- 5 New Jersey --------13
Connecticnt -------- 7 New York 39
Delaware ---------- 3 North Carolina -------13
Florida ---------- 5 North Dakota -------- 4
Georgia ----------13 Ohio 33
Idaho 3 Oregon _-_____---- 4
Illinois ----------27 Pennsylvania --------34
Indiana ----------15 Rhode Island -------- 4
Iowa ------------13 Sonth Carolina ------- 9
Kansas ----------10 Sonth Dakota -------- 4
Kentucky ---------13 Tennessee ---------13
Louisiana ---------- 9 Texas ------------18
Maine ----------- 6 Utah ------------ 3
Maryland --------- 8 Vermont --------- 4
Massachusetts -------16 Virginia ----------13
Michigan ---------14 "Washington -------- 5
Minnesota 11 West Virginia ------- 7
Mississippi --------10 Wisconsin ---------13
Missouri 18 Wyoming 3
Montana ---------- 3
Total electoral vote ---------------- 476
Necessary to a choice, 239.
DEMOCRATIC NATIONAL COMMITTEE AND ITS
OFFICERS
MEMBERS OF NATIONAL COMMITTEE
ALABAMA Henry D. Clayton Eufaula
ARKANSAS William H. Martin Hot Springs
CALIFOKNIA M. F. Tarpey San Francisco
COLORADO John I. Mullins Denver
CONNECTICUT Homer S. Cummings Stamford
DELAWARE Richard R. Kenney Dover
FLORIDA Jefferson B. Browne Key West
GEORGIA Clark Howell Atlanta
ID AIIO Simon P. Donnelly ........ Lake View
ILLINOIS Roger C. Sullivan Chicago
INDIANA Thomas Taggart . . Indianapolis
IOWA Charles A. Walsh Ottumwa
KANSAS John H. Atwood Leavenworth
KENTUCKY Urey Woodson Owensboro
LOUISIANA N. C. Blanchard Shreveport
MAINE George E. Hughes Bath
MARYLAND L. Victor Baughman Frederick
MASSACHUSETTS William A. Gaston Boston
MICHIGAN Daniel J. Campau Detroit
MINNESOTA T. T. Hudson Duluth
MISSISSIPPI C. H. Williams Yazoo City
MISSOURI W. A. Rothwell Moberly
MONTANA Chas. W. Hoffman Bozeman
NEBRASKA James C. Dahlman Omaha
NEVADA John H. Dennis Reno
NEW HAMPSHIRE True L. Norris Portsmouth
NEW JERSEY William B. Gourley Paterson
NEW YORK Norman E. Mack Buffalo
NORTH CAROLINA Josephus Daniels Raleigh
NORTH DAKOTA H. D. Allert Langdon
OHIO John R. McLean Cincinnati
OREGON Frederick V. Holman Portland
PENNSYLVANIA J. M. Guffey Pittsburg
RHODE ISLAND George W. Greene Woonsocket
SOUTH CAROLINA B. R. Tillman Trenton
SOUTH DAKOTA E. S. Johnson Armour
TENNESSEE R. E. L. Mountcastle Knoxville
TEXAS R. M. Johnston Houston,
UTAH D. H. Peery Salt Lake
VERMONT Bradley B. Smalley Burlington
VIRGINIA J. Taylor Ellyson Richmond
WASHINGTON John Y. Terry Seattle
WEST VIRGINIA John T. McGraw Grafton
WISCONSIN Timothy E. Ryan Waukesha
WYOMING John E. Osborne Rawlings
ALASKA Arthur K. Dalany Juneau
ARIZONA Ben M. Crawford .Clifton
DIST. OF COLUMBIA James L. Norris Washington
HAWAII Palmer P. Woods Mahukoma
INDIAN TERRITORY R. L. Williams Durant
NEW MEXICO H. B. Fergusson Albuquerque
OKLAHOMA Richard A. Billups Cordell
PORTO RICO D. M. Field Guayama
OFFICERS OF NATIONAL COMMITTEE
Thomas Taggabt,
De Lancey Nicole, Viee-Chairman
Geoege Fosteb Peabody, Treasurer
Chairman
Ueey Woodson, Secretary
Edwin Sefton, Asst. Secretary
August Belmont
James Smith, Je.
EXECUTIVE COMMITTEE
Wm. F. Sheehan, Chairman
James M. Guffey
Jno. R. McLean
Thomas S. Maetin
Timothy E. Ryan
DEMOCRATIC CONGRESSIONAL COMMITTEE
Headquarters, Riggs House, Washington, D. C.
W. S. Cowheed, Chairman
J. R. Thayee and Rice A. Pieece, Vice-Chairmen
Chaeles A. Edwaeds, Secretary
J. L. Peaecy, Asst. Secretary
Alabama John L. B. Buenett
Arkansas Hugh A. Dinsmoee
California E. J. Liveenash
Colorado John F. Shafeoth
Connecticut. . . . Wm. S. Paedee
Delaware Henby A. Houston
Florida .S. M. Spaekman
Georgia James M. Geiggs
Idaho Heney Heitfeldt
Illinois Joseph B. Cbowley
Indiana W. T. Zenoe
Iowa Maetin J. Wade
Kansas A. M. Jackson
Kentucky James N. Kehoe
Louisiana R. F. Beoussaed
Maine F. W. Plaisted
Maryland James W. Denny
Massachusetts John R. Thayee
Michigan Alfbed Luching
Minnesota John Lind
Mississippi . . . .E. J. Bo webs
Missouri W. S. Cowheed
Montana John S. McNeil
Nebraska G. M. Hitchcock
Nevada C. D. Van Duseb
James L. Noeeis, Treasurer
J. J. Sinnott, Sergeant-at-Arms
New Mexico E. V. Chavez
New Hampshire. . Henby F. Hollis
New Jersey Allan Benny
New York W. H. Ryan
North Carolina, . . W. W. Kitchin
North Dakota J. B. Eaton
Ohio John S. Snook
Oregon Feed. V. Holman
Pennsylvania Mabcus C. L. Kline
Rhode Island . . . . D. L. D. Gbangee
South Carolina. . . D. E. Finley
South Dakota C. Boyd Babeett
Tennessee Rice A. Pieece
Texas C. B. Randell
Utah W. K. King
Vermont T. W. Maloey
Virginia H. L. Maynaed
West Virginia David E. Johnson
Washington Geoege Tueneb
Wisconsin C. H. Weisse
Wyoming John E. Osboene
Arizona John F. Wilson
Dist. of Columbia. James L. Noeeis
Oklahoma S. P. Feeedling
Ind. Territory . . . R. L. Owens
SENATE MEMBERS
Arkansas James H. Beeey
Florida Jas. P. Taliafeebo
Idaho Feed. T. DuBois
Missouri W. J. Stone
Nevada
Virginia Thomas S. Maetin
Montana William A. Clabk
Tennessee E. W. Cabmack
Texas Chas. A. Culbeeson
', C. Newlands
CHAIRMEN OF DEMOCRATIC STATE COMMITTEES
1904
STATES CHAIRMEN RESIDENCE
ALABAMA H. S. D. Mallory Selma
ARKANSAS
CALIFORNIA Timothy Spellacy California Hotel,
Brush St., San Francisco
COLORADO Milton Smith Equitable Building,
Denver
CONNECTICUT John J. Walsh Norwalk
DELAWARE Willard Saulsbury . . . Wilmington
FLORIDA D. M. Fletcher Jacksonville
GEORGIA M.J. Yeomans Dawson
IDAHO
ILLINOIS Chas. Boeschenstein. . . State Headquarters, 300-1
Sherman House, Chicago
INDIANA W. H. O'Brien Indianapolis
IOWA S. B. Morrisey Harlan
KANSAS , William F. Sapp Galena
KENTUCKY Louis McQuown Bowling Green
LOUISIANA E. B. Kruttschnitt New Orleans
MAINE E. L. Jones Waterville
MARYLAND Murray Vandiver Baltimore
MASSACHUSETTS W. S. McNary Boston
MICHIGAN D. J. Campau Detroit
MINNESOTA H. L. Buck Winona
MISSISSIPPI
MISSOURI W. N. Evans St. Louis
MONTANA
NEBRASKA T. S. Allen Lincoln
NEVADA
NEW HAMPSHIRE . . . .Nathaniel E. Martin. .Concord
NEW JERSEY W. B. Gourley Paterson
NEW YORK Cord Myer New York City
NORTH CAROLINA. . . .F. M. Simmons Raleigh
NORTH DAKOTA B. S. Brynjolfson Grand Forks
OHIO Benjamin McKinney . . . Marietta
OREGON Alex. Sweet Portland
PENNSYLVANIA J. K. P. Hall Ridgway
RHODE ISLAND P. H. Quinn 19 College St., Providence
SOUTH CAROLINA. . . .Wilie Jones Columbia
SOUTH DAKOTA John W. Martin Watertown
TENNESSEE Frank M. Thompson . . .Nashville
TEXAS Frank Andrews Houston
UTAH Frank J. Cannon Ogden
VERMONT Emory S. Harris Bennington
VIRGINIA J. Taylor Ellyson Richmond
WASHINGTON J. W. Godwin Seattle
WEST VIRGINIA O. S. McKinney Fairmount
WISCONSIN A. F. Warden Waukesha
DIST. OF COLUMBIA. .J. Fred Kelley Washington, D. C.
INDIAN TERRITORY. .Fred'k A. Parkinson. . .Wagoner
NEW MEXICO W. S. Hopewell Santa Fe
OKLAHOMA Jesse Dunn Oklahoma City
CONTENTS.
PAGE
Constitution of the United States 3
Platform of the Democratic Party 16
Platform of the Republican Party 24
Notification Address of Hon. Champ Clark at Esopus, Aug. 10, 1904.. 30
Address of Acceptance of Alton Brooks Parker 33
Notification Address of Hon. John Sharp Williams at White Sulphur
Springs, Aug. 17, 1904 41
Mr. Davis's Speech of Acceptance 4ft
Comment on Judge Parker's Speech of Acceptance, from New York
Nation, Aug. 18, 1904 50
Biographical Sketches of the Candidates:
Alton Brooks Parker 53
Henry Gassaway Davis 61
"Theodore Roosevelt." A New York World Editorial 66
A "War Lord" for President 71
Roosevelt on former Presidents 72
"On What Does the Republican Party Stand Pat?" (Editorial from
New York American ) 73
The Silver Record of 'the Republican Party 76
President McKinley a Free Silver Advocate 77
Republican Platforms on Silver 78
President Roosevelt on the Question of "Definite Committals" 79
President Roosevelt a Bimetallist 80
Republican Extravagance 81
Speech of Hon. Leonidas F. Livingston, of Georgia, in House of Rep-
resentatives, April 28, 1904 85
Edward Atkinson, on Cost of War and Warfare 88
Speech of Hon. Gilbert M. Hitchcock, of Nebraska, in House of Repre-
sentatives, February 20, 1904 91
Speech of Hon. Theodore E. Burton, of Ohio, in the House of Repre-
sentatives, March 15, 1904 96
The Tariff and Trusts 98
The Trusts Conceal Export Prices 99
Comparison of Export and Home Alices 100
Export Values versus Home Value? 110
How the Industrial Commission investigated Prices 112
Specific Illustrations of the Way High Tariff Taxes Enable the
Trusts to Extort from Americans much Higher Prices than
from Foreigners 113
Ingratitude of the Tin Plate Trust 114
Steel Plates much Cheaper to Foreigners 115
Iron and Steel Trusts Rebuked by Republican Official Reports... 116
Senator A. O. Bacon, of Georgia, Produces Evidence as to Ex-
port Prices of Steel Rails 117
English Testimony that Trust-Made Goods Are Sold Cheaper
Abroad than in America 118
Steel Manufacturing Costs Less in the United States than in
England 121
The Tariff:
Prices and Wages; Republican Claim that Increase in Wages
Has Kept Pace with Increase in Cost of Living Shown to be
Untrue 122
Absurdity of Republican "Averages" 124
"Raising" Wages in Michigan and Wisconsin 128
How the Dingley Bill Fosters Trusts and Raises Prices 129
11 CONTENTS.
PAGE
Wages of Railway Employees 132
Money Wages versus Real Wages 135
Chart Showing Reduced Purchasing Power of Wages 136
Labor's Share of the Product of Labor Rapidly Declining 137
The Average American Family Pays a Tribute of $94 a Year to Pro-
tected Trusts 138
Tariff Taxes Paid by the Average Family in 1903 . 142
The Dingley Tariff Imposes Average Duty of 48.81% 145
Table of Duties Imposed by the Dingley Tariff Law 145
Business and Industrial Record of 1903-1904 149
Table Showing Wage Reductions, 1903 150
Closed Mills and Reduced Output, 1903 151
Table of Wage Reductions, 1904 153
Anti-Trust Legislation, Not Enforced by the Administration 158
Republican Record on Reciprocity 163
Reciprocity with Canada „ 166
Canadian Preferential Duties 170
Republican Reciprocity a Sham 174
A Stolen Plank 175
The Philippines:
Republican Attitude Toward 177
Bryan on the Republican Philippine Policy 177
Ex- President Cleveland on Philippine Problem 180
Hon. Richard Olney on Philippine Problem 181
Gen. Miles on Philippine Problem 1»3
President Jacob G. Schurman's Views 184
Criticism of Secretary Taft's Philippine Policy* 185
Political Side of the Philippine Question, Views of Republicans.. 187
The Philippines and Statehood 189
The Philippines Considered Commercially 191
Colonial Exploitation ; Compact with Promoters 195
Railroads in the Philippines 199
Commerce of the Philippines 200
Obstacles to Development of the Philippines 205
Is Sovereignty Essential to Trade ? 205
Cost to the United States, ending June 30, 1903 207
Cost to the Philippines 208
Exports to Philippines from 1893 to 1903 210
The Panama Affair ..: 214
The Postal Frauds 221
Asst. Postmaster-General J. L. Bristow on Postal Investigation 228
Minority Committee on Post-Office and Post Roads, Views of 246
Civil Service Abuses 248
Interior Department Scandals 254
Timber Land Frauds 256
Indian Territory Scandals 258
The Executive Pension Order 259
Financial Legislation by Executive Decree 262
National Irrigation a Democratic Policy 265
The American Merchant Marine 270
Equal Protection of American Citizens Abroad 273
Establishment of Department of Agriculture and Rural Free Delivery. 275
Election of U. S. Senators by Direct Vote of the People 277
Vote on Resolution to Investigate the Post-Office Department 279
Constitutionalism, Speech by Hon. Edward M. Shepard 285
Electoral Vote of States in 1904 304
Democratic National Committee 305
Democratic Congressional Committee 306
Chairmen of Democratic State Committees 307
INDEX.
A
PAGE
Abuses, Civil Service 248
Address of Notification to Henry G. Davis, by Hon. John Sharp Wil-
liams 41
Address of Acceptance by Alton B. Parker . . . . 33
Address of Notification to Alton B. Parker, by Hon. Champ Clark.. 30
Agriculture, Department of, Originated under Democratic Rule 275
American Merchant Marine 270
American Citizens Abroad, Protection of 273
American, the New York, on Republican Party's "Stand Pat" Policy. 73
Anti-Trust Legislation, Not Enforced by the Republican Administra-
tion 158
Appropriations, Speech of Hon. G. M. Hitchcock on 91
Appropriations for U. S. Government Expenses 84, 87
Arbitration, Republican Platform on 27
Arid Lands, Republican Platform on 25
Arid Lands, Reclamation of, Democratic Platform on 20
Atkinson, Edward, on Cost of War 88
Army and Navy, Increase in Expense of 97
Army, Democratic Platform on 21
Army, Republican Platform on 25
"Averages," Republican, Absurdity of 122, 124
B
Bacon, Senator A. O., on Export Prices of Steel Rails 117
Barbed Wire, Cheaper to Foreigners 118
"Benevolent Assimilation," Hon. John Sharp Williams on 41
Bimetallist, President Roosevelt as a 81
Black, Governor, on "War Lord" for President 71
Bryan, Wm. J., on Philippines 172
Business Disturbances, TJable of 151
Business, Record of Failures in 149
Burton, Hon. Theodore E., Speech of 96
c
Canada, Trade with 169
Canada's Exports to Great Britain, 1873-1903 171
Canadian Preferential Duties . . . . '. 170
Canal, Isthmian, Democratic Platform on 10
Capital and Labor, Democratic Platform on 19
Capital and Labor, Republican Platform on 28
Carmack, Senator, on Reciprocity 164
Civil Service Abuses 248
Civil Service, Democratic Platform on 22
Civil Service, Republican Platform on 27
Civil Service under Charles Emory Smith 250
Chamberlain Plan, for Canada 173
Chart, Showing Purchasing Power of Wages 136
Chinese Labor, Republican Platform on *.
Clark, Hon. Champ, Address of Notification to Alton B. Parker ...... 30
Cleveland, ex-President, on Philippines 180
Colonial Exploitation 195
Committee, Democratic National 305
Committees, Democratic State, Chairmen of 307
Congressional Democratic Committee 306
Constitution, Government by, Alton B. Parker 34
Constitution of the United States 3
Constitutional Guarantees, Democratic Platform on 19
Constitutionalism, Speech on, by Hon. Edward M. Shepard 285
iv INDEX.
PAGE
Consumer Pays Tariff Taxes 89
Corporations and Trusts, Republican Platform on 26
Cost of Living, Increase in, Greater than Increase in Wages .... 122
Cost of the Philippines to the United States 207
Cuba, Republican Platform on 25
Culberson, Senator, Remarks of, on Republican Extravagance 81
D
Davis, Henry Gassaway,
Attitude on Labor 65
Biographical Sketch 61
On Financial Conditions 47
Philanthropy and Public Spirit of 64
Speech of Acceptance of 46
Stands with Judge Parker on Gold 46
Democratic Congressional Committee 300
Democratic National Committee 305
Democratic State Committees, Chairmen of 307
Democratic Party, 1904 Platform Cl 10
Democratic Platforms on National Irrigation 26a
Democratic Platform on Protecting Citizens Abroad 274
Dingley Tariff, the 145
Dingley Tariff, Duties Collected under 145
Dolliver, Senator, on the Philippines 188
Duties, Preferential, in Canada 170
E
Economy of Administration, Democratic Platform on 16
Electoral Vote of States in 1904 304
Election of U. S. Senators by Direct Vote of the People 277
Election of U. S. Senators by the People, Democratic Platform of
1904 on 20
Executive Decree, Financial Legislation by 262
Executive Pension Order 259
Executive Usurpation, Democratic Platform on 17
Extravagance, Republican Party's 81
Expenditures of 2,561 Families 126
Expenditures, Military, Increase of 97
Expenditures, National, Increase of 97
Expenditures of Great Britain, France and Germany 83
Expenditures of U. S. Government 96
Expenditures per capita, 1860-1904 48
Expenditures, U. S. Government, for Past Twelve Years 81
Experiment Stations, Agricultural 275
Export Prices 98
Export Prices, Position of Republican Party on 110
Export Prices, Table of, Compared with Home Prices 100
Exports to the Philippines, Table of 210
F
Family, Average American, Pays $94 a Year to Tariff Protected
Trusts 138
Financial Legislation by Executive Decree 262
Fisheries, Under Reciprocity 167
Foreign Markets, Republican Platform on 26
France, Gross Revenue ot 93
France, Navy of 96
Frauds, Land • 254
Frauds, the Postal 221
Free Delivery, Rural 275, 276
G
Germany, Navy of 96
Germany, Revenue of 94
INDEX. V
PAGE
Gold Standard, Republican Platform on 27
Government by Constitution, Alton B. Parker on 34
Government, Cost of, in the U. S. Per Capita, 1860-1904 48
Government Revenues and Expenditures for Past Twelve Years.... 81
Great Britain, Navy of 96
H
Hitchcock, Hon. Gilbert M., Speech of 91
Honesty in Public Service, Democratic Platform on 17
Imperialism, Democratic Platform on 17
Imperialism, Republican Argument for 178
Increase of Wealth Under Democratic Rule 289
Indian Territory, Scandals in 258
Increase in Cost of Living, Due to Republican Policies 122
Increase in Prices of Specified Articles 134
Increase in Wages Not Equal to Increase in Cost of Living 122
Industrial Commission on Export Prices 112
Irrigation, National, a Democratic Policy 265
Irrigation Opposed by Republican Leaders 266, 269
Isthmian Canal, Democratic Platform on 20
Isthmian Canal, Republican Platform on 25
Interior Department, Scandals in 254
Investigation of Post-Office Frauds, Assistant Postmaster-General J. L.
Bristow on 228
J
Jewish Citizens Abroad, Democratic Platform on Rights of 274
Jewish Citizens Abroad, Passport Regulations Concerning 273
L
Labor, Democratic Platform on 19
Labor Disturbances 149
Labor's Share of Wealth Produced, Declining 137
Land Frauds 254
Legislation, Financial, by Executive Decree 262
Livingston, Hon. L. F., Speech of*. 85
M
McKinley, President, a Free Silver Advocate 77
Manila, Description of 204
Merchant Marine, Democratic Platform on 21
Merchant Marine, The American 270
Miles, Gen. Nelson A., on the Philippines 183
Monroe Doctrine, Democratic Platform on 21
Money Wages vs. Real Wages 135
N
"Nation, The," Comment of, on Alton B. Parker's Speech of Accept-
ance 50
National Democratic Committee 305
National Irrigation, a Democratic Policy 265
Navies, Strength of 96
Notification Address, to Henry G. Davis 41
Notification Address, to Alton B. Parker 30
o
Olney, Hon. Richard, on the Philippines 18 J
"Open Door, The" 191
P
Panama Affair, the 214
I
vi tNt)EX.
fAGfi
Parker, Alton B.:
Address of Acceptance 33
Biographical Sketch of 53
Declines Nomination for Secretary of State 56
Gold Telegram to the St. Louis Convention 23
First Election to the Bench 56
On No Second Term as President 40
On Constitutionality of Eight-Hour Law 58
Opinion of, by a Republican Associate on Bench of Court of Ap-
peals 59
On Our True Foundation as a World Power 38
On Militarism 38
On Trusts 36
On the Philippines 37
On Right of Labor to Refuse to Work with Non-Union Men 58
On Principles of Thomas Jefferson 33
On the Tariff 35
Pensions, Democratic Platform on 21
Pension Order, Executive '. 259
Polygamy, Condemnation of, in Democratic Platform 21
Postal Frauds, the 221
Postal Frauds, Details of 229
Postal Fraud Investigation, Demanded by Democrats 223
Postal Frauds, Investigation of, Suppressed by Republicans 222
Postal Frauds, Minority Committee on 246
Postal Frauds, Postmaster-General Took no Action on 225
Postal Frauds, Report on 224
Postal Frauds, President Roosevelt's Position on 223
Post-Office Deparment, Vote on Resolution to Investigate 279
Preferential Duties, of Canada 170
Philippines, The, and Statehood 189
Philippines, The:
Banking in 1 98
Burden of too Heavy to be Borne, Says a Republican Senator. . . . 188
Commerce of 200
Considered Commercially 191
Coast Line of 15,000 Miles 209
Cost of to the Filipinos - 208
Cost to the United States ._ 207, 213
Earthquakes in *. 204
Exports to, for Use of American Army 212
Ex-President Cleveland on 180
Gen. Nelson A. Miles on 184
Obstacles to Development of 203
Plan to Subsidize Railroads in 195
Population of 193
Prof. Jacob G. Schurman on 184
Railroads in 199
Republican Platform on 25
Democratic Platform on 22
Restrictions in Treaty of Paris upon Development of 194
Senator Dolliver on 188
Hon. Richard Olney on 181
Senator Spooner on 187
To be Exploited by Promoters 195
Wm. J. Bryan on '. 177
Philippine Policy of Secretary Taft 185
Philippine Question. Political Side of 187
Platform, 1904, of Republican Party 24
Platform, 1904, of Democratic Party 16
Platform, Democratic, on Protection to American Citizens Abroad . . . 274
Platform, Democratic, on National Irrigation 265
Plows, American, Sold Cheaper Abroad than in United States 99
Postal Investigation, Asst. Postmaster-General Bristow on 228
Post-office Investigation, in the U. S. Senate 283
PAGE
Prices and Wages . . 122
Prices, of American Goods, Cheaper to Foreigners than to Americans. Ill
Prices, Dun's Index List 131
Prices, Export 98
Profits of Steel Trust 98
Protection of American Citizens Abroad 273
Protection of American Citizens Abroad. Republican Platform on.... 27
"Protection" Taxes Average American Family $94 a Year 138
Protection to American Industries, Republican Platform on 26
R
Railroad Employees, Wages of 132
Reciprocity, Democratic Platform on 21
Reciprocity Platform, Stolen by Republicans 175
Reciprocity, Republican, a Sham 174
Reciprocity, Republican Record on 163
Reciprocity, Senator Carmack on 164
Reciprocity, Senator Dolliver on 165
Reciprocity Treaty, The Elgin 167
Reciprocity with Canada 166
Reductions in Wages, Table of 150—153
Revenue of France, Not the Product of Taxation ". 92
Revenue of Germany and United States Compared 94
Revenue, U. S. Government, Past Twelve Years 81
Rural Free Delivery, Originated Under Democratic Rule 275
Republican Administration, Democratic Platform on 22
Republican "Averages," Absurdity of 122, 124
Republicans on Export Compared with Home Prices 110
Republican Party, 1904, Platform of 24
Republican Party's Silver Record 76
Republican Record on Panama Affair 215
Roosevelt, President:
As a Bimetallist 80
Deserts His Early Convictions in Favor of Free Trade 67
New York World on 66
On the "Big Stick" 69
On Former Presidents 72
On His Panama Policy 218
On the Postal Frauds 223
Republican Platform on 28
His Usurpation, Criticised by Senator McLaurin 219
Violates the Constitution in the Panama Affair 217
s
Schurman, Prof. Jacob G., on the Philippines 184
Sectional Agitation, Democratic Platform on 22
Self-Government, Right of 179
Senators, Election of Direct by the People, Democratic Platform on . . 20
Senators, Election of Direct by the People 277
Silver, President McKinley in Favor of 79
Silver, President McKinley on, in 1896 78
Silver, President Roosevelt on : 79, 80
Silver, Republican Party's Platform on 78
Silver, Republican Party's Record on 76
Shaw, Secretary of the Treasury, on Export Priees 110, 111
Shepard, Hon. Edward M., Speech of on Constitutionalism 285
Shipping, American, Republican Platform on 27
Shipping, American, Decline of, Due to High Tariffs 271
Ship Subsidy Bill 272
Soldiers and Sailors, Republican Platform on 27
Spooner, Senator, on the Philippines 187
Stand Pat Policy, New York American on 73
State Committees, Chairmen of 307
viii index.
PAGE
Statehood and Territories, Democratic Platform on 21
Statistics, Republican, Made to Deceive Voters 130
Steel Manufacturing Costs Less in the United States than in England. 121
Steel Plates, American, Cheaper to Foreigners 115
Steel Rails, American, Cheaper to Foreigners 117
Steel Trust's Profits 08
Steel Trust, Rebuked by Republican Official Reports 110
Storey, Moorfield, on Secretary Taft's Philippine Policy 185
Tables:
Of Appropriations by Last Democratic Congress, Compared with
Present Republican Congress : 87
Showing Appropriations by Democratic Congress Compared with
Republican Congress 87
Of Closed Mills 151
Of Dun's List of Prices • 131
Of Duties Imposed by the Dingley Tariff 145
Of Export and Home Prices Compared 100
Of Exports to the Philippines 210
Of Increase in Prices of Specified Articles 134
Of Reductions in Wages 150
Of Railroad Wages, 1892-1903 133
Of Tariff Taxes, Paid by the Average American Family 142
Tariff and Trusts 98
Tariff is Cause of Decline in American Shipping 271
Tariff, Democratic Platform on 18
Tariff, the Dingley 145
Tariff Law, Republican Platform on 24
Taft's, Secretary, Philippine; Policy, Criticised 185
Taxation, Per Capita Greater in the United States than in Germany. 95
Telegram, Alton B. Parker's, to St. Louis Convention 23
Territories, Democratic Platform on 21
Timber Land Frauds 256
Trusts 98
Trusts, Democratic Platform on 18
Trusts Tax Average American Family $94 a Year 138
Trusts, Tin Plate, Ingratitude of 114
u
United States Government's Expenditures for 1905 84
United States, Constitution of 3
Unlawful Combinations, Democratic Platform on 18
V
Vote, Electoral, in 1904 304
w
Wages, Chart Showing Purchasing Power of 136
Wages, Increase of Not Equal to Increase in Cost of Living 122, 132
Wages, Money vs. Real 135
Wages of Railroad Employees 132
Wage Reductions, in 1903 150
Wage Reductions in 1904 153
War, Cost of 88
"War Lord" for President 71
Water Ways, Democratic Platform on 19
Wealth, Increase of, Under Democratic Rule 289
William^ Hon. John Sharp, Notification Address to Henry G. Davis. 41
Wire, American barbed, Cheaper to Foreigners than to Americans... 118
Wright, Carroll D., "Cooked" Statistics of 123
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